Easing into buy and hold with condos?

[Justin Owens]

Hello community! When I first got on BP a bit ago I quickly started gravitating to 2-4 unit properties in Arizona and began running them through the BP calculators. With access to MLS that has been my main source but I have looked at the BP Marketplace and elsewhere. In all my calculations, I didn't have much more than a couple hundred cash flow. For a $200k+ asset and dealing with 2 to 4 tenants it didn't seem worth it.

A better option would be to find a wholesale deal or distressed property and get into it for less. With the competition here, walking into significant equity deems difficult. 

For a week or so I have been looking at condos and townhomes. I realize a lot of control is given up by way of the HOA, but a lot of uncertainty is also removed too as far as capex and maintenance. The interiors and HVAC are the only things to maintain and replace, making numbers easier to pLan for.

I am currently looking at a condo 2/2 in a C area of Mesa. In a complex I lived in years ago. With 20% down rent would cover the mortgage, taxes, insurance, and the HOA and have $200 to 250 in cash flow per month. If I screen tenants well and start with a 5k reserve account I should be good right?

What am I missing?