Other expenses to be aware of include: real estate taxes, insurance, utilities, maintenance (excluding Cap Ex), management, janitorial expenses, security, and a reserve for replacement.

We don’t have a $60 down payment so we would use an equity loan on our house for that amount and then have a mortgage for hopefully 300,000 when all expenses are paid each month excluding the equity payment because we don’t know how much that monthly payment will be yet, we have a cash flow of $750 a month .

Maybe should have excluded the garage rent and made the numbers work better.

@Eric Dritz it depends but excluding reserves for vacancies, repairs and closing costs, around 16%-20%.

Does what I signed exclude us from being able to do so, as it's one year from date of the refinance?

Qualified gain can be excluded under section 121.

Several elementary schools, high schools and retail centers nearby. 3 Post-secondary schools in the area as well.Conservative Cash Flow (10% Vacancy): $86 / mthLess Conservative Cash Flow (6% Vacancy):  $170 / mthCoC Return: 55%Purchase Price: $199000Down Payment (20%): $39800Mortgage (3.0%, 25 year): $159200 = $753 / mthClosing Costs: $4000Land Transfer Tax: $1715Total Cash Required: $45515Rooms: 3Rent: $700Rental Income: $2100Mortgage Payment: $753Property Tax (1.18%): $196Insurance (Very Conservative): $150Repairs (10%): $210CapEx (10%): $210Vacancy (10%): $210Management Fees (10%): $210Utilities: $75 (Tenants pay portion)Total Expenses: $1930 / mthCash Flow: Income - Expenses: $2100 - $2014 = $86CoC Return:  Annual Income - Cash Required: $25200 / $45515 = 55%NOI: Gross Income - Operating Expenses (excluding Mtg): $2100 - $1177: $923

Even with a live in SO (exclude all the roommates) - given the relationship they are more likely to look at is as a cost sharing initiative and you wouldn't be able to create a loss. 

As the statute indicates, some federally governed programs are excluded, and legal advice is always recommended to avoid a potentially expensive mistake.NEW UPDATED WORDING FOR YOUR LEASE – note this is in most leases nowBY SIGNING THIS RENTAL AGREEMENT, THE TENANT AGREES THAT UPON SURRENDER, ABANDONMENT, OR RECOVERY OF POSSESSION OF THE DWELLING UNIT DUE TO THE DEATH OF THE LAST REMAINING TENANT, AS PROVIDED BY CHAPTER 83, FLORIDA STATUTES, THE MANAGER SHALL NOT BE LIABLE OR RESPONSIBLE FOR STORAGE OR DISPOSITION OF THE TENANT'S PERSONAL PROPERTY.TIPS 1.

Some lenders may require a certain LTV in the current home to exclude the mortgage.