-Friend has been in an accident and has been experiencing significant health issues with no end in sight and has NO INCOME. 

Without credit information, how can I handle potential issues like unpaid utility bills?

Whether it's due to changes in personal circumstances or unforeseen issues, addressing these concerns promptly is crucial to maintaining a positive landlord-tenant relationship and ensuring the financial health of the property.

You may not make as much as you potentially can with direct real-estate, because you won't have the ability to put in sweat equity.

Potentially something unforeseen came up that influenced the final sales price, but either way that would be an instance when I left food on the table (for the opposing party!) 

Hey folks, 
I'm new here and researching SMF homes in Rochester (Edgerton) and I found something that might work for me, but I'm not sure if I'm thinking about this correctly. The asking price is $80k and I'm securin...

So basically, your parents shouldn't face any tax consequences as long as they're just contributing the property to the LLC and not selling it.However, it's important to be aware of the potential for reassessment of the property's value, which might impact property taxes.

There are free tools online everywhere, but basically you want to do the following:Gross Potential IncomeLess Vacancy= Gross IncomeSubtract the following expenses:Real Estate TaxesHazard InsuranceLiability InsuranceMaintenance (yes, even if you plan to DIY)SuppliesProperty Management (yes, even if you plan to DIY)UtilitiesLawncare/Snow removalLegal Costs (evictions, LLC formation/maintenance)Bad Debt (non-paying residents)City Occupancy LicensesPayment processing fees (for debit/credit cards)This will get your Net Operating Income.Then subtract debt service. 1st mortgage2nd mortgage (if applies)Line of Credit (if applies)This leaves you your free cash flow.

There are several critical factors and potential risks you should consider to ensure a more comprehensive approach.Regarding your math, it seems well-considered, incorporating key elements like repair costs, After Repair Value (ARV), and projected rental income.

Without credit information, how can I handle potential issues like unpaid utility bills?