Trying to get more votes, so I get a free BP ball cap. what we all do for free stuff. 

The cap gains and recapture would take $500-700k of the $2.1.

Add maintenance/cap ex, vacancy, PM, misc and this is likely negative more than $500/month even if self managed (much more than the negative $200 that you indicate you are ok with) 2) if you are behind on mortgage, how are you going to handle being negative $200/month, or more like negative $500/month?

Evaluate cities based on job growth, population growth, rent-to-price ratios, cap rates, and vacancy rates.

.: @Travis Boyd you’ll lose more in interest rate increases, potential property taxes increases, realtor commission and other transaction costs than you’ll pay on any future cap gain taxes.

A lot of the flyover states have cheap houses/2-4s but junky tenants and lots of cap/ex. 

these days buying any free standing SFR with rents much less than 1200 a month is simply not enough Gross revenue to run the railroad.. 600.00 rent on an SFR your going to lose your rear end through cap ex and maintenance.

You should put money away for cap-x and repairs, but also look into detail on the builder's warranty.

Also AirBNB stocking fees, maintenance, cap ex.But at the same token know that the principal portion of your mortgage payment is actually not a true expense so there is that benefit to doing all of this even if you are light on the cash flow or break even.  

You value it based on yearly income and cap rate.