Why is there a 2% rule ? Why isn't rental investment the easiest?

[Conor Goddard]

Hi All!

I probably have the most newbie question ever, but can anyone explain to me why there's a "2% rule" and why getting a loan and then having a tenant pay it off isn't the easiest way to gain an asset?  What am I missing? Is it that the expenses add up (property tax, mortgage insurance, repairs, etc) and you end up losing too much money? 

It just seems too easy to put $30k down, get a loan for another $150k, buy a house, rent it out for whatever the mortgage is...Even if you end up losing $200 a month, you end up with full ownership of a house in 15 years. Is it too hard to get a loan for that? Please help because I'm obviously not seeing it all. Thanks!