I still live with my mother so my monthly expenditure is very low and I am saving a fair amount of money.

Many of the buildings I've seen in this area are +/- 100 years old and would require some capital expenditure up front (structure,roof,windows,etc).

Sometimes the PM doesn’t classify expenses the way that my CPA would so I have to be responsible for recognizing capital expenditures, etc.

Property listing price is 117,600Property tax : 750 yearlyInsurance is 300 a yearI did 10% repairs of monthly rent 10% for cap expenditures of Monthly rentRent 1000Vacancy is 10%

As for the cash, that's something I'm currently working on and definitely want to have covered in case of capital expenditures!

Purchase price would be less than 200k @ 20% down, so we would have a max down payment of 40k leaving a balance of 21k for repairs or improvements and a good base for capital expenditures that come up down in the first few years.I would love to here the group's thoughts on this idea, and if this is totally off base or not smart at all.

I am sure you and the large majority of investors make adequate capital expenditures in order to maintain their asset's physical condition for much longer than 30 years but creditors do not like to count on that as a given.

Again I dont think they increase the NOI by as much as they will take away from it...Were all of these expenditures really taken into account by the 'AS IS' appraisal?

The property itself is turnkey, no major maintenance/expenditures expected in the next five years and all of the appliances are newish and well maintained along with the property itself.That said, it is a little farther away from campus that I'd hoped making it less desire-able.

if i run my numbers like with %100 cash financing (including capital expenditures and all that )  i am still getting %4 positive cash flow.