an old saying when you go to Vegas is "don't gamble scared", which essentially means make sure you have enough money to bet big when the odds are in your favor….i would modify that quote to fit RE to "don't invest in RE scared"…have the nest egg at the right size before you jump.  

I do not think this is a gamble as you defined above, on the contrary, if you ask the right questions and vet the operator thoroughly you should not have to fear this calamity as you proclaim in your statement. 

You would be gambling big time!

Duplex's can and are generally in urban cores and very tough... this situation could play out often for you no matter who your out of area rep was who the rehabber was and who the PM is.the main issue though is you having to go through the learning curve when the out of area rep admits his clients went off the reservation are you the only one.. or did this happen to numerous people... its nice that its recognized and they are fired.. but its the pits for those effected..

Using an arrest record without a conviction is being viewed as discriminating against a consumer who has not been found guilty of having done anything illegal.Per the new guidance:Exclusions Because of Prior Arrest.....A housing provider with a policy or practice of excluding individuals because of one or more prior arrests (without any conviction) cannot satisfy its burden of showing that such policy or practice is necessary to achieve a substantial, legitimate, nondiscriminatory interest.  .....As the Supreme Court has recognized, “[t]he mere fact that a man has been arrested has very little, if any, probative value in showing that he has engaged in any misconduct.

One neighbor actually came over when we were touring the property because he didn't recognize us (I think that's a sign of a good neighborhood).

@Bryan Pace For LLCs to achieve their objective - segregation of liabilities - they must be recognized and registered in the jurisdiction that gives rise to such liability.

@Jay Dean - @Kevin Wang is correct.Income less expenses is NOI, or Net Operating Income.NOI less mortgage is your Cash FlowUnless if you force major appreciation or gamble on market appreciation, selling a rental after one year doesn't make a whole lot of sense.

Recognizing that this is an old thread, I have the same follow-up question as he does if someone can answer it!

You just have to find them and learn how to recognize them.Also they may come to you when your name and reputation travel in the community...