When is it a good investment?

[Timothy Joseph]

Ok, I own two properties that I have had awhile, they are rentals and I am loving the numbers.   I am now looking to buy more and the market has become super tight here.  Prices are high and inventory low, a definite sellers market...   My question is, how much cash flow if any should my rental unit generate, knowing that I am generating equity in the property.

Every new position I buy moving forward will be 100% financed. That being said, If I amortize at 20 years, and after rent and expenses the property generates very little cash flow, like $30 per month, would that be considered a horrible investment? Keeping in mind after 5 years I should have accrued $25,000 in equity in with zero money of my own? That sounds like a good return to me..... Further, its a condo with zero outside maintenance and fees other than the HOA, which I love.... (I already have one its the easiest thing ever to manage)

In my searching, I have found most listings are generating negative income when looking at a 20 year mortgage and 100% financing.   It's far and few between that result in these zero net or positive cash flowing properties....