I'm considering paying my property manager a percentage of gross revenue and percentage of NOI to keep interests aligned.

Long term rentals means not as much revenue.

I saw some stats the other day that even with other states beginning to legalize, Colorado is still way ahead of the pack in revenue generation.

I mentioned that I'd evict but I'd actually make the close contingent on the former owners evicting (which I think they've started.)Re: the expenses, I'm conservative so I made them 38% of revenue.  

What gives me confidence though is a focus on the fundamentals (purchase below market, force equity through rehab, 1% rule for revenue, 50% rule for expenses, conservative financial modeling, borrowing responsibly without over leveraging) that I have learned though books, podcasts and here on the forums.

With MF, you can increase the value by increasing the NOI (increase revenue and/or decrease expenses). 

If you were going to sell and move your money elsewhere, that's the math you'd be doing more or less.If I were in your shoes and looking at that kind of mortgage rate, I would be inclined to figure out how to increase the revenue on the property.

However, both the Secretary of State and the Department of Revenue have the power to impose penalties and fines.

Your cashflow looked pretty slim with financing eating over 60% of your revenue.

Estimated mortgage: $1259 per month. (4.8% interest, 30 year mortgage, 25% down based on an offer of $80K per duplex) Taxes are: $300 per month (based on 2016 tax assessment) Insurance is: $236 per month (quote from insurer) PM@ 10% $400 (I currently self manage) Maintenance @10%: $4008% Vacancy: $320TOC: $2915All Units are currently rented at an average of $500 (some units have long term tenants and the rents have not been raised in a while) Total Rent Revenue: $4000 (We plan to rent the units for $525-$550 once the current leases expire)All units have newer HVAC units and come with (older) appliances.