Are the major items replaced/new (roof, furnace, ac, appliances, windows?

If you sold your IRR would be through the roof for the time you've held it.

Is taking out a HOME OWNERS EQUITY LOAN a smart way to take care of the roof replacement.

Immediately after I took over, tenants complained that there has been roof leaks that the owner attempted to fix himself, without good results.

Immediately after I took over, tenants complained that there has been roof leaks that the owner attempted to fix himself, without good results.

Some properties are turnkey where factors can determine whether your knowledge base will suffice or you need a more in-depth view others are heavy deep renovations where it would be a best investment protection to know what you don’t know; possible septic issues, roof, mechanical electric... then it’s best to get a pro if your a pro or have one. 

Thats not a huge number but its something I could definitely work with assuming something doesn't go wrong like bad roof or plumbing (which owners says is in good condition).

Also some damage may not be able to covered by security deposit. 2. more roofs = more capital expenditure. replacing fixtures like roofs/windows etc. costs the same size house, regardless of price of the house3. less able to utilize leverage4. higher turn around with these tenants. if you are using a property manager, this also means more replacement fee for the tenants.One other thing to note is if you can find a home that can be rented for $2000 a month for $200K, why would anyone want to rent that from you?

Thats not a huge number but its something I could definitely work with assuming something doesn't go wrong like bad roof or plumbing (which owners says is in good condition).

It's looking like our biggest expense will be the roof- there is some leakage above the kitchen cabinets.As it stands it's a 3/1, 1500sqft, paid cash no finance, PP: $62.3k, no mortgage/lien attached.