This can require both a plumber and an electrician, or just an electrician with a mechanical background (depending on the area).

Your doom and gloom examples, are just defensive mechanisms.

My feeling is that you take the cash flow in the first couple of years and put it into cash reserves for any maintenance issues or if mechanicals breakdown, then I can use the cash reserves to pay for things like a new A/C or appliances.

I find buyers often do not understand the lender underwriting mechanisms for NNN STNL properties. 

From those experiences I have learned what I am most focused on in terms of inspection worries, which are mechanicals (HWT, Furnace, appliances) and structural/roof issues.

Depending on what market you are investing in, hopefully you can find a property that has an opportunity to be improved but not disqualified from FHA funding (they'll usually require that the home is in livable condition, meaning all structural and mechanical elements are in tact).

@Jerry Stevenson I was an auto mechanic and about 26 years ago I bought my first property.

Make sure mechanical and roof are good.

You may wish to confirm that the new 401k provider has experience with the particular investments in which you intend to invest your retirement funds as you very likely will have questions in terms of the mechanics (e.g. how do you invest in real estate, etc.).3.

However, like everybody mentioned before me, those houses needs full updates.Especially mechanical and electric service upgrades.Most likely, they work on older wiring.If you don't update it now, it would be fine, but if you decide to change it to central air etc... it will not be enough to support the new system.I would budget everything, and make smart upgrades.