Quote from @Michael Guildford: Quote from @Luke Masaschi: @Michael Baum I can also add that the houses on the water similar size are about a million bucks but my house across the street I got for 95k and now appraises at 175k so its a MAJOR price difference when it comes to lake front vs not. 

One major repair, one long vacancy and all your “needed” cash flow is gone. 

Majority of the rentals in the Beaver Falls area are going for $700-$800 unfurnished (as mentioned above).

If your market supports medium term rental demand and you're having issues getting booked, put yourself in a potential guests shoes when reviewing your listing. 

Look at the finances of the HOA, how big is the reserve, were there major improvements made recently (roofs, paint, paving)? 

If you had a contract to have the source of the odor removed and the contractor didn't do it, then that's a issue they need to correct.

Quite a few major cities have been hit hard in the past 12 months, however, after going through their pricing model in depth, they are originating these home equity investments at a 10-15% discount to current market value.

If needed, consider mediation to solve the issue.

The CAP rates aren't great, the vacancy rates are high, majority of multi-family locations are in areas with unreliable tenants.Overall, it just seems like it's difficult to achieve reliable passive income here. 

Ask them when they issue distributions (anything before the 15th of the month is a red flag), do they require reserves, how is maintenance charged, do you see copies of outside contractor bills, do they upcharge materials (PM's have LAR accounts with Lowes and often get 20% off), do they keep all late fees or just the management fee, what other fees do they charge (renewals, inspections, etc), where are tenant security deposits held, how are evictions handled and are you consulted before filing, what screenings do they run, what qualifications do they require from tenants, ask for a couple other owners to visit with for a reference.