It will depend on the current condition and life expectancy of the property's major components and appliances. 

I frequently see the 50% rule on expenses (sometimes 55% on BP) so this could set you up for some unexpected surprises in the future (specifically with CapEx).

Unexpected things always come up so the thinner the margins the less room investors have for speed bumps along the way. 

I guess it is a number thing, which leads me to one last question (I promise not to bug you too much):  How do you allocate your time efficiently; is it heavily invested in crunching numbers and finding the right piece of property to invest in, or do you spend more time on the rehab component of the project itself?  

Do I have a good savings account for any unexpected repairs.

Normally, I would let my PM do this, but we had unexpected capex expenditures. 

The strategy has been very good to me, and I'm a fan.Separate your construction costs into soft, horizontal and vertical components - soft for city fees, professional services , and holding/financing costs ... horizontal for any site prep, public improvements, and underground work ... vertical for foundation and everything on top of it. 

The other is a stabilized cash flow opportunity in the suburbs.While location is a very strong component of real estate that always needs consideration, it is also one of many factors.  

Also, make sure your credit is good so you can fund any unexpected issues that come up with the rental!

I agree though that something like an unexpected military obligation would be along the lines of one of the only good reasons to break a lease.