I choose the tenant based on credit and rental history without any set ratios as the quality of applications varies from one neighborhood to the next.

Determine if you want to move based on housing needs and wants.  

You cannot base your entire REI based on a single bad experience with ONE property alone

Based on that ARV, your all-in cost should be no more that $126k (70% Lender's appraisal).

Based on the above and whether you are an accredited investor, you can invest in REITs, syndications, online funding sites, notes, etc.

I currently own a few rentals in different states, but since getting my real estate license i have started looking at family and friends for prospecting new deals as a new agent.I have a family member who has been renting houses for as long as i can remember between her and her boyfriend, but they both have some bad credit due to falling behind a few years back after both losing their jobs and juggling life for a while tell they found new jobs.I am a bit unsure about this idea still due to the fact that i have been running numbers on multi-family homes to purchase in the near future and turn into rentals, but i want to help them if it's a viable idea...I wanted to get your opinion on maybe purchasing a house based on their needs and running a lease option on the house for them to purchase down the road when they have the credit again....Right now they are renting a 3/1/1 for $1200/month and there is a lot of 3bed houses around them that are in the 100k and below that would meet the needs of them, im just worried about buying the house for them tieing up my own money and not have enough financing available to continue purchasing investment properties as my rental income from all my current rentals is my only income coming in right now as i start the career of an agent.

I'm very wary of tools that take a percentage based cut.

Where Saved MoneyThe CabinetsWe used the base product line by Wolf called Wolf Classic.

Maybe in the Churchland area or by the USCG base.

Shop around and get the best rates, closing costs (if any), and % they can lend based on your equity/appraisal.