I don't try to reinvent the wheel, but I'm always ready and willing to learn something.

If you want to delve deeper and be more accurate, here's a breakdown:Potential Rents: $24,000Vacancy & Credit Loss (5%): $1,200Gross Operating Income: $22,800Repairs & Maintenance (10%): $2,280 Management (10%): $2,280 (Even though you'll likely manage it yourself, you should include this because 1) Your time has an opportunity cost, 2) If you grow your portfolio you may eventually hire out management, and 3) It's simply how the analysis is done, don't reinvent a wheel that's already round)CapEx / Replacement Reserves (2%): $456 (This is something that you would likely leave out of a pro forma when selling your property, but a bank would include it in the underwriting analysis, and I suggest you include it when analyzing as a potential buyer.

Once you get the properties set up you do not need to reinvent the process every month like you do with flips.So, do both and use flips to provide the lump sums needed to fund the long term portfolio.John Corey

It just isn't worth the risk.Finally, you might keep in mind that until you have mastered wholesaling "by the book" you really are not well served by reinventing the wheel.

But, our long term plan involves having rents payoff mortgage balances on our properties over time, while infusing the current debt with most of our net rental income after expenses, since we don't need it as we are working.Of course, we will keep a prudent reserve of capital on hand for each property.Looking 10 years out, the payoff amounts at that time along with infused cash each year from rental income, we could feasibly have a really low, or in some cases no mortgage debt at all on each property.This is why we go in pretty heavy on down payments, we're not looking to reinvent the wheel or anything.Ultimately, having around 10 - 12 places cashflow anywhere from 500 - 1500 per month, (10 year plan) is more than enough for us to retire on, plus other things we have currently in place for retirement.Again, it's our plan and may not be what other want / need for themselves.Robert:As for the Colorado market, I have no desire to pay full price for low rents which is the norm in Co.

I'm a big believer in not reinventing the wheel; I know that somewhere, somebody has already done exactly what I want to do.

Of course gains on sale of a primary property have an even larger tax advantage (i.e. no tax).Also when the OP says in general stock returns beat RE returns over time: that is a well know fact, no need to reinvent the wheel with a new spreadsheet,  but remeber that is only on average. 

Explore the dash board for excellent information as there is no reason to reinvent the wheel. 

Detroit is reinventing itself. 

No sense in trying reinvent the wheel, when someone is already doing it so well.