I'll check out Appfolio as well - heard that mentioned numerous times on the podcast and I'd rather learn these now while we are small! 

Looking at the job in their original application or move out packet will tell you loads about their money making abilities, and if they have something to go after.

Here at Beaufort Property Management we numerous multi-year lease's at that monthly amount.

Unless I'm doing something wrong, it seems like 1% rule isn't really applicable (in TX at least), from what I've looked at it seems like 1.5%+ or 2% for a deal to make sense.

It seems like it is not applicable if using HELOC funds. 

If by the time you complete a background check, credit check, employer verification, conversations with previous landlords, an application fee, deposit and personal interview you're still having problems with your tenants, you're doing something wrong.And if you're unsure about being a landlord in general, then you can either put people on month-to-month leases so you can quickly get rid of them, or hire a property management company to manage it for you.While the landlord laws may look great in some other states, you'll may also be missing out on all the fabulous appreciation that can be experienced here in California.

They are referencing California code 1950.5 but that seems applicable only if a tenant satisfies the lease.  

I want to make sure this isn't a scam before we continue with the application. 

I think typically you'd provide the laundry machines (if applicable) and a fridge.

Starting to get my forms ready - renter application, etc  I want to have a system in place for this place and future investments.My question is what is the best background and credit report site?