After putting your rental contract and properties to the test, what are some amendments/addendums that y’all (Texas) have added.

With your set up, you aren't going to get stellar applicants...... if you do, they will likely not be long term.You are going to have to pick the "best of the worst"..... don't expect much...... so far, the pickings are slim and raised giant rent flags

Hard money lenders don't like doing down payments.Owner financing wants at least 25% down.With any debt to income ratio I've tested it doesn't work for conventional financing.Even conventional financing requires AT LEAST 3% (which I don't have because: SoCal, but I'm also not looking to live in it (my rent is 1/3 of the comps).What have you done/what would you do?

Would you buy a car without test driving it?

I am definitely intrigued with the idea of "running stress tests and scenario tests". 

50% LTV is reasonable$23 income - $8 expenses = $15 NOI - $8 mortgages = $7 cash flow (if I understand correctly)DSC (debt service coverage) = 1.875 times ($15 / $8) = pretty safeStress test these numbers for a down economySet aside some cash reservesSleep well at night

Chances of buying notes from your local bank is slim to none. 

Unfortunately, the real estate licensing training/test does not prepare one to be a realtor. 

Thank you for the encouragment, you are right about testing out of the first one at least.

I agree with @Jonathan Bombaci I would say that letters tend to do better, but it is worth testing your market to see what works in your area.