In the 13 markets I operate, not one of them produces zero (or negative) cash flows with maximum leverage (i.e. 20% down).

Any time, in whatever you do, you skirt the edges of the norm, the accepted way of doing something you run the risk as being seen in a negative light.David Jackson pretty well hit it, you can go with anything and suffer the consequences, if any.How do you think your running around town trying to put tenants and landlords together will be viewed my property managers and Realtors?

You don't want this person to point to anything negative about your dealings with him when telling his story to the judge.You are wise to consider options, but wait until some violation of the lease occurs before you worry about evicting.  

It's nuts to not escrow, and also nuts to not use a servicer to handle the 1098's to the borrowers.It looks like the first year post sale on a note your cash flow will be somewhat negative cash flow.  

Link to analytics account and track what people are searching and create negative keywords to further filter out nonsense searches that accidentally hit your words.

You can file suit and get a judgement that will follow the tenant for a long time and you might get paid.You could tell the tenant that you'll let them off the hook for the SD and one more months rent.This negative aspect is just part of our business, it happens, not to worry, you won't lose much if you get it occupied immediately. 

I'm sure others on BP could chime in with actual data.Long story short, for small-time investors (most of us on BP), negative cash flow projects are risky for all the reasons people have said here.  

If you have a negative experience with the company, do you have any recommendation on a good PM in the general Indianapolis area?

I know there are a fair amount of folks who enjoy and find value in it and I would venture to say those folks seem to out number the ones who think of those responses as negative nancy.  

There aren't any statistics, but that was the #1 complaint from all of the property managers I interviewed.It's very difficult to screen Section 8 tenants.Here is my conclusion:You may want to take Section 8 tenants, especially because of the pros, but keep in mind that it will be difficult to vet the tenants.