FEDERAL TAX LAWS; (B) SUCH DISCUSSION IS WRITTEN TO SUPPORT THE PROMOTION OR MARKETING BY THE COMPANY OF THE TRANSACTIONS OR MATTERS ADDRESSED HEREIN; AND (C) PROSPECTIVE INVESTORS SHOULD SEEK ADVICE BASED ON THEIR PARTICULAR CIRCUMSTANCES FROM AN INDEPENDENT TAX ADVISOR.

Another thing to never neglect is your downline at KW.

It just depends on your circumstances.

But I've seen about 4 or 5 houses do it pretty quickly due to tenant neglect and destruction.  

@Tyler McKendry Putting all you cash into the property and leaving no cushion for unforeseen circumstances is definitely risky.

And by CITY, I am NOT talking about small towns, I would never look at any city under 10,000 population, except for very unique circumstances..While it is getting more difficult to find deals, there are still many deals out there, and EVERY WHERE! 

@Christopher Rogers  I think it depends on your circumstances and risk tolerance.

While you feel sympathy for their circumstances, you can also look at it as that they were taking some advantage of your parents' kindness, no matter how nice they are, knowing they were paying so much less than they should, and you should be able to decide what charities you want to contribute to, not feel forced to contribute to them.  

It could be less than that but she'll never go wrong with saying 2% barring some extenuating circumstances.

Normal clean up is probably not the landlord's responsibility either but you may want to help to make sure the house is not further damaged from neglect.