Something else to to think about, but as mentioned above, simply do the math.

I trust and believe little of what is told to me; instead, good credit & background checks, employment & income verification, and personal interaction with the potential tenants should just about tell you everything you would need to know.

Preferred returns of 8% to the investor are common meaning 100% of distributions to to the investor first before sponsor gets paid.  

I did a credit check and employment/income verification to verify that the tenant could afford and probably obtain bank financing in the future if they decided to exercise their option to purchase, to avoid any issues with Dodd Frank.

Ask for printed verification of her 401K, bank accounts, or investment portfolio.  

Know how you'll finance the property - speak to mortgage brokers and local banks to get verification on any assumptions you have 3.

@Chris Wooten - I can connect to to a commercial broker who can help you find the right property.  

Verification of income is done by asking me my supervisor's name and phone number at my work, (or name of accountant).  

You can check out LegalZoom or RocketLawyer.(2) You will want verification from their former employer and landlord.

I was able to to order the parts needed straight from Danze.