I find it hard to believe that investors are actually buying negative cash flow deals, but they are and then banking on appreciation.

Well even if the rent is equal to the mortgage, you'll still be in the negative after repairs, CapEx, vacancy, etc.Why would you specifically be thinking of investing at a negative cash flow?

This creates a negative initial position.

Does that operational aspect have to devour all cash-flow, no not necessarily but it could, all depending on situation specifics right. 

I would be beneficial to determine if they are other aspects of the property that make it a worthwhile investment (tax, appreciation etc). 

I wouldn't consider it a heavy negative unless the street is super tight and parking is hard to come by or if the street is very steep/busy.The more desirable dense city neighborhoods it's almost kind of expected and off street parking would be considered a luxury rather than a necessity.If you get out into the suburbs I would say it's more of a big deal since more rentals have off street parking or a garage there.

Any feedback positive or negative would be appreciated!

Saying it wasn't in the lease or @Kevin Sobilo saying it just comes down to one person's word against another would negate virtually every crime.   

This implies renting is initially cheaper than buying and at high LTV, rentals are initially cash flow negative.  

My bridge rate is 10% and results in a $1,500/month PITI payment.The negative cash flow stings but is worth it for the equity.