The day I learned that not every landlord was meant to be my client was the day we were able to go from good to great.  

For us, that meant being in a safe neighborhood next to highly-rated schools.  

Do you get freaked out about what could happen if a tenant leaves, the market changes, Hillary is elected, or solar flares destroy the orbiting brain lasers?

While an LLC is a good way to lower liability, the best reason to consider an LLC is the ability to elect S-Corp taxation for it.  

Gentrifying neighborhoods like Petworth continued upward even during the housing collapse.To find a property with a basement unit you are probably looking at 600k plus in most areas.With a low down payment you are not likely to be cash flow positive on it when you turn it into a rental....but you need to realize a low down payment loan is not meant to be an investment, it's a means of getting owner occupants into properties.

Congratulations on diving in at such a young age, when its meant to be , its meant to be.

The hardwood floors need to refinished, base boards missing in some rooms, paint throughout but major systems (heat/air/pluming/elect.) all in working order.She has already talked to the bank about a short sale and they have sent her an application, but they did not discuss a number and there is obviously no guarantee that the bank will accept the offer.   

I was more trying to help the OP by understanding what they meant.  

However, what I meant is she has millions in assets.

That meant a below market rent on m2m terms which is favorable for the tenant.