Your basic insurance policy with $300,000 in liability coverage should be sufficient in 99.999% of all lawsuits.5.

To get on the right path on your first deal and maximize your limited capital for generating sufficient cash flow, focus on setting clear goals, researching the local market, and analyzing potential properties which most local agents can help you. 

If you wish to cashflow the best chance would be the triplex and fourplex route, however keep in mind those have to pass the self-sufficiency test, where if fully leased out the property can technically pay for itself.

One year is sufficient.

As with most big decisions in life, insufficient planning means you leave a lot up to chance or luck, and you are sufficiently prepared for unforeseen obstacles in the future.

Now that I'm noticing that the issue of filter changes isn't addressed in the contract I'm feeling less certain that her use of an alternate, albeit inadequate, filter would be sufficient to charge her for the bill... but I also don't like setting a precedent that she doesn't have to handle the house responsibly... 

As long as you have sufficient cash reserves, keeping the excess cash flow working is a fantastic idea. $200/mo (for example) isn't enough to go buy another property right away, but it is enough to automatically buy a couple shares of VTSAX or whatever. 

(g)Protection of medical information(1)Limitation on consumer reporting agenciesA consumer reporting agency shall not furnish for employment purposes, or in connection with a credit or insurance transaction, a consumer report that contains medical information (other than medical contact information treated in the manner required under section 1681c(a)(6) of this title) about a consumer, unless—(A)if furnished in connection with an insurance transaction, the consumer affirmatively consents to the furnishing of the report;(B)if furnished for employment purposes or in connection with a credit transaction—(i)the information to be furnished is relevant to process or effect the employment or credit transaction; and(ii)the consumer provides specific written consent for the furnishing of the report that describes in clear and conspicuous language the use for which the information will be furnished; or(C)the information to be furnished pertains solely to transactions, accounts, or balances relating to debts arising from the receipt of medical services, products, or devises, where such information, other than account status or amounts, is restricted or reported using codes that do not identify, or do not provide information sufficient to infer, the specific provider or the nature of such services, products, or devices, as provided in section 1681c(a)(6) of this title.(2)Limitation on creditorsExcept as permitted pursuant to paragraph (3)(C) or regulations prescribed under paragraph (5)(A), a creditor shall not obtain or use medical information (other than medical information treated in the manner required under section 1681c(a)(6) of this title) pertaining to a consumer in connection with any determination of the consumer’s eligibility, or continued eligibility, for credit.(3)Actions authorized by Federal law, insurance activities and regulatory determinationsSection 1681a(d)(3) of this title shall not be construed so as to treat information or any communication of information as a consumer report if the information or communication is disclosed—(A)in connection with the business of insurance or annuities, including the activities described in section 18B of the model Privacy of Consumer Financial and Health Information Regulation issued by the National Association of Insurance Commissioners (as in effect on January 1, 2003);(B)for any purpose permitted without authorization under the Standards for Individually Identifiable Health Information promulgated by the Department of Health and Human Services pursuant to the Health Insurance Portability and Accountability Act of 1996, or referred to under section 1179 of such Act,1 or described in section 6802(e) of this title; or(C)as otherwise determined to be necessary and appropriate, by regulation or order, by the Bureau or the applicable State insurance authority (with respect to any person engaged in providing insurance or annuities).(4)Limitation on redisclosure of medical informationAny person that receives medical information pursuant to paragraph (1) or (3) shall not disclose such information to any other person, except as necessary to carry out the purpose for which the information was initially disclosed, or as otherwise permitted by statute, regulation, or order.(5)Regulations and effective date for paragraph (2)(A) [2] Regulations requiredThe Bureau may, after notice and opportunity for comment, prescribe regulations that permit transactions under paragraph (2) that are determined to be necessary and appropriate to protect legitimate operational, transactional, risk, consumer, and other needs (and which shall include permitting actions necessary for administrative verification purposes), consistent with the intent of paragraph (2) to restrict the use of medical information for inappropriate purposes.(6)Coordination with other lawsNo provision of this subsection shall be construed as altering, affecting, or superseding the applicability of any other provision of Federal law relating to medical confidentiality.

A lawyer won REPS status challenge because he owned a prop management company more than 5% had material participation through providing legal services, but because he did some sort of work in a business that DID qualify (within one of the 11 categories) and he had sufficient ownership of it, it met the status. 

You have to decide if 3.3% return on equity is sufficient for your investment goals, or could you sell everything and take the cash received and invest it elsewhere and earn a higher return.