Sophisticated investors look at the Rent-to-Value Ratio and look for at least 1% or more to be able to cashflow after expenses.

The arbitrager uses a sophisticated virtual assistance team from the Philipines to manage and lookout for the property.

Is she really handling your level of sophistication? 

These owners are usually more sophisticated than the typical homeowner and your mailings need to reflect that. 

It also requires gaining a level of sophistication and knowledge that not everyone has the time, inclination or ability to do.

Ultimately, you want a CPA and Quickbooks...that is the magic combination.If you are looking at financial modeling or more sophisticated solutions, we use a VA Firm called UpWork...some pretty bright folks out there. 

If you want to have a better return on equity (which is what most sophisticated investors want) you get two and leverage.My article on return on equity - https://www.biggerpockets.com/...

Sophisticated investors with a lot of time, a lot of real estate experience, access to cash and a large portfolio, would be wise to give it some thought. 4.  

For entry level investors it can be tough to find properties that are listed before they get picked up by institutional investors with sophisticated tools and algorithms. 

When you have enough saved that losing $25K will not be catastrophic and you have enough knowledge to evaluate the risks associated with a syndications, join a syndication that you have establish a relationship (so accredited investor or sophisticated investor is not required).