(We've put the responsibility on the showee, but realized that even great prospects forget, so we take the responsibility)3.

Also, I suggest you define your screening criteria and disclose it to prospects before taking applications.

Assuming it's legal to prospect them in MA, how would someone go about finding lists of these?

I don't think pre-foreclosures is your best prospect for making money in this business - in Maryland - there are laws about getting involved with this type of deal.The problem is - if they are not paying the bank - who else are they not paying and how many liens are on the property?

However I also must recognize I need to have some protection against lawsuits from prospective tenants that don't share my definition of reasonable.

Look out for other members here who routinely post and other articles/blogs that reference their methods of analyzing a prospective deal. 

If they want me or any other prospective buyer to move forward ----- go to step #1 first - get a contract of sale tentatively accepted first - all that other stuff will come later - So if a buyer does not have proof of funds - but does have a deposit (subject to financing) are you suggesting you turn down and ignore a suspect - who may become a prospect and perhaps a buyer away.That's my opinion - agents who act like this will never make the income that more flexible agents earn.

A jump in rates over the next couple years might squeeze cash flow for the current owner (by refinancing into a higher rate) or prospective buyer (making the deal less appealing). 

If the outside looks lower class than the renovated unit, prospects will just keep driving and you will get lots of no shows for you showing appointments.

How do you advertise that or explain it to prospective tenants?