The teant responsibility on the lease under maintenance section described as follows: E.

I think twice, I've had problematic tenants (one high maintenance and one who was rough of stuff and should have been charged for some of the repairs but the PM didn't even after I complained to them).

I understand that the majority of the risk in Section 8 is from tenants damaging the property, therefore depreciating the asset over time and leading to high maintenance costs.

There are other expenses beside the loan that will need to be accounted for such a grounds maintenance and insurance. 

. - Maintenance & Repair: 5% of total rent- Cap ex / utilities: 5% of total rent- Property management: 8~10% of total rent- Misc & reserve: 5% of total rentFull rent: 4800(rent) - 2600(PI) - 800(TI) - 1150(Expense) = $250/mOwner occupied: 3600(rent) - 2600(PI) - 800(TI) - 1150(Expense) = -$950/mOwner occupied & no PM: 3600(rent) - 2600(PI) - 800(TI) - 700(Expense) = -$400/m I thought it would be $0/m if owner occupied although $400/m for myfamily is low enough.

You also benefit from warranties that can reduce initial maintenance costs.

Some of the challenges are tenant friendly laws and high costs of construction and maintenance.  

@Bob AsadOnce under contact getting the rent rolls, maintenance, and any capital expenditures expenses.

I have a pretty large balance sitting in an account with her which included balances From not getting paid the last two months of rental income and  tenant deposits and maintenance reserve funds. 

This creates two loan payments ($100,000 of equity and $300,000 on the new mortgage).Key NumbersHome Equity Loan Interest Rate: 6%Mortgage Interest Rate: 7%Rental Income: $3,000 per monthExpenses (management, taxes, insurance, maintenance): $800 per monthIncome and ExpensesMonthly Rental Income: $3,000Monthly Expenses: $800Monthly Mortgage Payment: $2,000ExplanationThe investor earns $3,000 in rent each month.They pay $2,000 on the investment property mortgage and $800 on other expenses.This leaves $200 profit each month or $2,400 per year.However, you have to pay $6,000 interest on the equity borrowed.This leaves you with an annual loss of $3,600.While the rental property generates positive monthly income, the interest cost of borrowing the initial $100,000 results in an overall annual loss.