Rehab costs, holding costs, and the ARV will be the largest cash eaters or cash producers with this deal.If you underestimated the rehab (both costs and time) and overestimated the ARV, you could be underwater very quickly. 

If your purchase price (always the largest expense) plus the rehab estimate (the second largest) total no more than 70% of the ARV, the remaining 30% must cover your HML charges, agent commission, property and hazard insurance, property taxes, title insurance, escrow, staging, all else, and your profit.

Speaking with one of our attorneys she mentioned the largest area of defaults she has seen is in SS space as it got over saturated in some markets and rent appreciation has not been as advertised.

Since you are in Long Island and considering these areas, the best thing to do is to take a trip up there and decide for yourself.Take an area like Philadelphia.

SupplyLas Vegas is unique because it is a tiny island of privately owned land in an ocean of federal land.

Quote from @Patricia Andriolo-Bull: If you don't mind non-waterfront, there are a few places in Marco Island around that price range.  

If rent growth fails to outpace inflation, you have to get a job to supplement your diminishing rental income.Las Vegas Metro AreaBelow is a map showing the Las Vegas metro situation.Las Vegas is a small island of private land surrounded by a vast expanse of federal land.

Lot split by far has largest upside, but it is also the most work with the highest cost.  

Lack of capital is my largest blocker to entering the real estate market right now, so less than 20% is appealing.

But first the backstory….My father immigrated to this country over 30 years ago and has been able to acquire 4 properties in that span. 1 family home in long island, two 2 family homes in Queens and 1 vacation home in his country.