We did that as well when my wife and I started our real estate journey. 1) If she is signing a longer lease, I would actually increase the rent slightly and say that you will not have to worry about us raising the rents every year and that it will actually be give you and her a more predicable situation as she wont have to worry about her rent being raise in a year and her having to find a new place. 2) Personally one of the hardest things to do when we turned our primary into a rental was to let go of the idea that its "our home" and its now a business.

The 1% rule is a rule of thumb, like you said, which means that it will not apply in all situations.

In my situation, would it make sense to put 5K down on properties where rent covers expenses?

Unfortunately, his father’s health deteriorated and instead moved into an assisted living facility.

“The thing that threw me off is the bank kept saying everything was still in in good standing.”Like many in the same situation, she was forced to move elsewhere.

They are very easy to get ahold of,  and a call to them explaining your situation might be of help. 

It's not a matter of getting the money in these situations.

I'm in NC so I don't know if that affects the situation at all, I'd love to discuss further in order to get setup properly the first time before beginning my investment portfolio.

When I look at the REI landscape, I always wish that more investors, players, and vendors would try to create win, win, win situations.  

@Melissa TaylorI would feel the full rehab and flip to be the better scenario where there's a complete makeover and little or nothing resembling the previous situation.