Would a realtor be able to get comp on vacant lot sold, not far from the subject lot?

I'm not talking about unexpected problems--crap happens to everyone from time to time.

I own several SFHs in the lower end of the scale (20k-after-rehab-ish) and while those rent for 550$ on average, some months I may see 20% of that in net income, and most of the time like Jon side, when I get hit with something "unexpected" it may take a big chunk of the gross since while the house is cheap, maintenance costs are high in comparison.

I have heard many be surprised by unexpected expense that could have been avoided, such as sewer repair costs.Also I think a lot of new investors are optimistic on:-holding costs (including interest, taxes, utilities, hoa dues etc.)

Real estate investing has always been a pivotal component of my long-term career plan, and I'm finally ready to take the plunge into my first deal.My goal is to have deal #1 in the books by the time I graduate in May.Thanks to everyone for sharing your stories, lessons, and experiences over the years.

The cash flow analysis is the easy part - the operations are pretty straightforward as well - but you've got to get a good grip on the components.

Keep $60 000 in a savings account to cover unexpected costs and expenses while you gain a little more experience about real estate investing.Secondly, try to purchase a fourplex in a "good" neighborhood for around $150 000.

@CL Tumlin ,Depreciation as @Dave T said will be prorated for the number of days in the year.Unless you initially segregated out the costs upon purchase between the individual components of the home you will continue to depreciate it over 27.5 years.

Doing that you will have to give up some of the deal.Why don't you just go for an existing property with a value add component or something fully performing.

Be prepared for the unexpected.