We just purchased our second home and are renting the property for $2,200 with a net cashflow of $300 after mortgage and reserves.

@David Pena Jr Let your tenants pay down the mortgage and have reserve funds for refreshing the unit and for needed future repairs and maintenance. 

You are out of the fee.After the screening is complete, confirm employment and previous landlord recommendations.  

You will need considerable reserves-12 months.

Thank you @Mark Burns for confirming that.

Small time landlords who were ‘managing’ their own properties and did not have reserves to stay afloat during this time and kept putting off all the maintanence items over the years just wanted to get rid of their properties. 6 of my 8 units acquired in the past 6 months were tired landlords and the remaining 2 units were from a friend who owned a property for over a year and did not have time to fix it.

I have paid off all my debts and have about 6 months of cash reserves.

I would not give them the keys until that is complete and you confirm it with the utility company. 

Upon move-out we have them send a picture of the unit to confirm it's all cleaned out, so in most cases we aren't even going out to check on it.

I also wanted to clarify that when you say 70/30 after NOI, keep in mind that the mortgage payment, capital expenses, and adequate reserves have to be paid prior to free distributable cash-flow. 6% pref is on the low side of market but not unreasonable by any means.