SFH and duplex, what annual cash flow to aim for?

[Johnny Weekend]

I have been looking at single family homes and duplexes in the 100-150k price range. What annual cash flow (after all expenses and mortgage) do people aim for? Based on my estimate I am getting about 1200-2400 annual cash flow. That seems low to me and a bad year can wipe that out quickly. What do people consider a good annual cash flow in houses in that price range?

Thank you

[Joe Scaparra]

What is your goal????  Here is a simple description of what I started doing back in 2003.  I began buying duplexes, so far I have yet to sell any, just buy and hold.  

I now own a total of 19 units.  My strategy was to get the buy done with 20-25% down.  Save 1st years profit for maintenance reserve and then take annual profits and pay down the note.  That should only take between 12-14 years.  What actually happened was I started taking profits from all newly acquired properties and paid down one at a time.  First property was paid off in 8.5 years.   I had another business and did not need any profits from my investment real estate.  Because cash flow has been so good, I just use cash generated to buy more properties.  I am pickier more than ever now as I have enough properties; I only buy if it is an extremely good opportunity.   Once you get one to two properties paid off it becomes a snowball rolling downhill, you can't stop it unless your an idiot.  

If your strapped for cash after buying your first, then instead of paying down the notes you can use the profits to help with more downpayments.  I had a good income and l was able to leave the profits to help payoff the investment real estate quicker.  Now retired and cash flow is Great.  Cheers.