But on 100 year old homes in low value neighborhoods capex often exceeds cash flow over time.

If you have something interesting / unique you'd like to discuss, or have been doing the passive investing thing for a significant time, I'd love to talk shop.

2019 Built in a Class B neighborhood of Houston.

Thirty years ago I started purchasing and living in properties in upcoming inner city neighborhoods that required renovation.

What currently happens in my NW Austin neighborhood is older owners tend to sell their homes as is, often in need of serious remodeling. 

.#8.  1% rentals is a good target, but rare here, unless you buy old homes in the bad neighborhoods...and then some of your other numbers probably change. 

This is why the moment I hear a hungry-realtor saying how they want to get out there and get with a client like yourself because there going to make "oh so much commissions" or that an agent works with "all investor buyers" I just giggle and walk-on, because that's just a declaration of ignorance and inexperience. 100%, what your doing as an active value-shopping investor, going for small-"pop" properties, it either (a) isn't worth an agents time because it simply does not pay enough for the work involved or (b) the agent is too green to know this and than, since they are so green, there no-good at it anyways. 

Without the upside of a good neighborhood and/or quality property, I don't love it. 

Let’s talk shop!

@Hunter DuplantisFind out what median income is in your area/neighborhood, and don't expect to charge more than1/3 their income.