Am I on the right track with this property?

[Robin Valadares]

HELLO BP COMMUNITY,

I just purchased my second single family rental property in St Catharine's. I was hoping to get some advice if I am setting up this rental properly in order to maximize my ROI and cash flow.

Purchase Price: 270K

Option 1:

Market Rent 1450-1700

Use 20% for down payment from existing HELOC, interest is at prime + 0.5%: payment: ~ 140$ per month

80% conventional mortgage at 5 yr fixed at 2.9% @ 30 year amort: 900$ per month

Property taxes at 203$ monthly

Insurance @ 100$ month

5% vacancy

10% property management (I'll be managing it myself)

10% Cap Ex

 Cash Flow Summary: 1600 rent- (140+900+203+100+80+160+160)

= - 174.3  a month

Option 2:

Everything same as option 1 but use my own money for down payment.

Cash flow becomes -34.3$ a month

Option 3:

Either increase my HELOC down payment or personal down payment to 25-30% in order to increase my monthly cash flow.

I'm thinking option 1, I believe the market rents will increase in time and I know since I am managing it that I will save the 180$ monthly

I want to know if I am missing anything glaring? 

I'm looking to purchase more properties in the coming months so having access to cash is very important but at the same time I do not want to be experiencing negative cash flow.

Thanks for your advice!