We are aiming to finish her residency in 2020 with no student debt and a $3M portfolio, and then the real fun will begin.Aside from ungodly food expenditures, we are some of the most frugal people you'll ever meet.

BP defines Total Profit as property value minus net cash expenditures and sales costs. 

I am fully aware that I'll incur both short-term and long-term capital expenditures.

The big thing however is that you do not have room for a budget for repairs or capital expenditures, or even vacancy. 

Loan amount, loan term, interest rate, rental comps, repair estimates, capital expenditure estimates, insurance quote, utilities, taxes, etc....  

We will provide an update on expenditures to date in a future post.

Also, in my experience 5% is not enough for capital expenditures.

Here are my main concerns/questions:1) Most deals I can find are projected to cash flow less than $100 (assuming 30 year fixed, 5% vacancy, 10% maintenance, 5% capital expenditures, 10% management fees, HELOC interest).  

Even though it might cast off rents of USD 1.000/month, the state of the house could soon cost so much in maintenance and capital expenditure items that you have a negative cash flow situation.

Cap Ex is capital expenditures.