Financial breakdown:Monthly Expenses = $4,775 (P&I = $3,092 ; Insurance = $350 ; Taxes = $1,333)Monthly Income = $8,000Monthly cash flow = $3,225 (27% cash on cash, 10.83% cap rate, 2.04 debt coverage)The return seems to outweigh any potential risks, but we can't help but think we are missing something.Thanks in advance for your help!

If looking to tie up the least amount of cash possible, would the risk outweigh the rewards if looking to purchase a low value home (80-95k), no major updates needed just minor cosmetics but not in the best area/ possibly sub par tenant prospects .  

Any benefit can easily be outweighed by the risks involved.Also, you shouldn't allow a Tenant to vacate without a written agreement.

I play the CC rewards game a lot, and as we know, if you can't pay off the balance in full every month, the interest will typically outweigh the benefits.You also have other challenges: how to get the cash off the card (most cards allow cash advance but only for a fraction of the CC line). 

Time and stress to build it ... outweighs much more 

Please be cautious of using a 203k loan. 203k loans can be useful, however, I have found that the costs involved far outweigh the benefits.

Again, from a purely logical perspective, it would be wisest to invest rather than pay off debt if the return on investment outweighed the interest on the debt.

The N Chas Housing Authority is also really aggressively trying to attract owners because their demand outweighs their supply.

I was not looking for a cashflowing property in this house hack scenario because I figured the other benefits outweigh that.

Sure statistically housing has always climbed so if you hold onto it for 50 years it should be up even further, but after your maintenance and repairs over 50 years have the costs outweighed the unknown increase?