Hey @Dylan Tettemer I would agree with @John Walker give yourself some padding for security on your numbers if you havent already.If repairs SHOULD be $20k I'd tack on at least another $5k for unforeseen things.Add a couple weeks to your rehab timeline and an extra month of holding costs, as well as figuring in for a lower rent... all this just to be on the safe side. 

Without doing that, you can't know if there's any looming unforeseen expenses that will be hitting you in the forehead (i.e. wallet) and killing your returns.

But they definitely have their risks, particularly for me with unforeseen issues that are expensive to fix. 

You should obviously mitigate your risk on any project for unforeseen issues.  

I understand the liability of the common areas and know there needs to be insurance in place, but are there any other unforeseen issues any of you know about?

The reality is that vacancies, unforeseen economic conditions, repairs can easily force one to become a motivated seller. 

The important thing to consider is making sure you have access to funds incase you run into unforeseen issues with the project!

I would be able repeat this process yearly barring any unforeseen expenses.I have a good friend (I've known him since we were kids and he is also my wife's Cousin) whom does not own property currently, he rents an apartment.  

Another note: Don't forget that life happens - unforeseen events or love interests etc and then others or yourself want out of deals etc.

Gas, water, electric, 10-15% increase in the scope of work for unforeseen circumstances, grass cutting, etc.