My question is why should that person go through the learning process and make costly mistakes or pitfalls and maybe lose some of his capital to become an efficient landlord, while on the other hand that investor could invest his money in REITS (Real Estate Investment Trust).To me the obvious advantages of REITS is that investors can economically and efficiently obtain exposure to real estate in publicly traded, liquid, transparent, daily valued, regulated, and audited securities.While the obvious disadvantages of directly buying rental is that individual real estate properties meet none of the usual tests for market efficiency: Each parcel is unique, transaction costs are very large, sales occur only occasionally, and market knowledge is often local and restricted, making this an insider’s market.

As far as an overall strategy, especially when first starting out, having strong cashflow is extremely important - it will help you weather those inevitable bumps that you'll come across throughout your investing career, but if they occur in the beginning before strong cashflow is established they can be catastrophic.  

Installation and design/ retro is the foundation for any hvac equipment, that is where most problems will occur.

@Joel L kendrick A Special Warranty Deed, which simply means the bank will only Correct/Fix issues which occurred during their ownership does Not mean title is not clear.

So, any time sensitive filing deadline for an affected taxpayer occurring between June 14 and October 15 can be extended to October 15. 

I understand its almost impossible for the partial 1031 exchange to occur now because of the S-Corp.

It just occurred to me that I need to check with my Property Manager how this is handled for leases where I use an LLC and he signs all the paperwork on behalf of the LLCs as their agent.

This is perfect for landlord interpretation of broom clean vs. tenants interpretation of broom clean, as well as a clear and established pre-cost list if damages do occur.

When pest issues occur between move-in/move-out it gets a bit trickier about who is responsible but we try to understand how the problem occurred.

On that document you will see just what transaction occurred.