Reason is you could get involved in lawsuits based on something that the prior owner did, and the tenant decided to sue the LLC after your takeover.

Hi Dan, rentals are certainly a good strategy, but there's a lot of work involved before it becomes passive.

I am sure you will find someone who fits your criteria.

Does that mean that when I look at the $90,000 house and the numbers are close and the deal would make sense at $78,000 (that is, the numbers would all fit and give me results within the rules of thumb; 1-2% rule for instance) would one then offer what would work even if it seems quite a bit lower than asking? 

This method also fits with one of my personal values of leaving things better than how I found them.

Sometimes the appeal of cash flowing properties like these are quickly squashed because of rehab expenses involved. 

The day before listening to this I was afraid of what steps to take to get involved in my first multifamily deal.

For instance I have a tape of over 500 right now that I'm narrowing down to fit within my company's parameters. 

We'd hoped to do shed dormers, but that would require too much engineering which would eat up a lot of time and not sure HOA would approve it, so we're trying to do the max we can with what's there (minus a few walls) That is going to be another great one for VR or full time living, etc. so should sell quickly, as it's part of SHARC which has waterslides, fitness, boat launch, etc. , and is close to The Village at Sunriver, a big bonus. 

It's all situational as your age, goals, regeneration of capital,etc. all play factors in strategy.I know for commercial real estate maybe 4 out of 10 calls the investor might be a fit for me.