I also will add some cushion for more safety in some expenses:Purchase Price $205,000 asking and current market valueClosing Costs ~$7,00020% Down Payment $41,000Total Cash Needed $48,000Financed Amount $157,000Mortgage Mo $772.35Property Taxes Mo $208Property Ins Mo $208Lawn Care Mo $120Management Mo $312Vacancy Mo $78Maintenance Mo $208Capital Expenditure Mo $208Total Monthly $2,114.35Monthly Rent $2,600Monthly Cash Flow $485.65

I would imagine it could be advantageous if it cash flows after the condo fees and if the fees include the roof or other inevitable capital expenditures. 

I am definitely a car guy and my truck is the only "fun" expenditure I have.

You don't want to pay extra taxes for no reason- plan which years your big expenditures happen so you can time around your lending needs. 

@Natalie Kolodij Appreciate you mentioning the renovation expenses, yes I assumed it would all go under a Capital Expenditure since the home is not currently rented.

Even assuming the tenant will pay all utilities/landscaping/etc, when you budget it vacancy, capital expenditures and repairs & maintenance you will certainly be negative each month, especially on a house that is almost 100 years old! 

I also do not want to lever the total value of the properties above 50% (this will help immensely if there is another 2008 like downturn or any type downturn for that matter)(most conservative non-traded REITs like Blackstone use around 50% leverage as well) All 8 of our properties are very similar to this one example below.Using 5% Vacancy, 7% Repairs, 7% Capital Expenditures, 0% Management (self managed) in rental analysis calculator -Property A (paid cash) Year 1Purchase price: $80,000 Rent $1000/mo or $12,000 annualTotal Annual expenses $5,240Total Annual cash flow $6,760Cash on cash ROI $6,760/$80,000= 8.45%-Property A (Traditional 30 year fixed, 25% down, 5% rate, $2,500 closing costs) Year 1 Purchase price: $80,000 Rent $1000/mo or $12,000 annualTotal Annual expenses $9,105.12Total Annual cash flow $2,894.88Cash on cash ROI $2,894.88/$22,500= 12.87%-Property A (Alternative Lender 10 year, 25% down, 5% rate, $2,500 closing costs) Year 1 Purchase price: $80,000 Rent $1000/mo or $12,000 annualTotal Annual expenses $12,876.72Total Annual cash flow -$876.72Cash on cash ROI -$876.72/$22,500= -3.90%-The one alternative lender I found does not make sense as it creates a negative cash on cash return.

My concern is that the positive cash flow is less than $100 a month with capital expenditures and monthly maintenance only at 5% each.

I also like the fact it will be low to no repairs and maintenance with low capital expenditures for the next ten to twenty years.

More than enough: revenue opportunity.3) What capital expenditures need to happen sooner rather than later?