Be diligent and check their rental references, credit report, eviction and criminal reports and I like to suggest setting higher than normal standards.  

I then go on to say that my process is to always get through a standard list of questions about the owner, property, tenants, and general items on the area.

He deducts his transaction costs of $30,000 and he has a net profit of $120,000.  

@Kevin Kim In a good part of Los Angeles you may not be cash flowing right away, it may take a few years; but in a final calculation you'll be in plus (considering interest and insurance tax deductions, depreciation, building equity instead of paying for someone's mortgage), etc).

Can i see a copy of your standard lease agreement?

I have bought REOs, Short Sales and a standard MLS listing.

I would feel that as an agent, its your obligation to get a client you list for the best possible price while maintaining a standard commission.

He told me how they stole from him, they acted like a bunch of children, everybody was doing something to everybody else ... absolutely not worth the brain damage.I mentored my sister from knowing nothing about re to being a successful broker working for herself, done well over 50 deals at this point, successful by any standard. 

An appraiser could probably provide better context on professional standards in this area, but I think 90 days is a nice to have not must have.Are you using realcomp MLS data or public sources?

And you are gonna have to pay the deductible, but bad things happen to good people some times.