So long story short, I've been looking into buying a rental property.Found a property that looked promising but nowhere near 50/2 rule.Not really showing much of cash flow.If I apply 2% rule, then it should be significantly less than what seller wants.Sellers' argument is that expenses were higher last 2-3 yrs or so for repairs andthese are non-reoccurring expenses, like siding, windows and doors.Also rents are pretty low compare to the market.Should I pay more than what the 2% rule projects?

Money is made by wholesaling houses, that is how I started out and the fast cash helped, but real estate is a long term game so building a well rounded business with rental properties(long term reoccurring income) and flips/wholesales(short term money makers) is the way to build wealth.

I got my real estate license in Nov 2012 and I'm now getting into investing (fix/flips and buy/hold).I think it would be a good idea start up some type of young investors professional club or a reoccurring meeting for us to brainstorm ideas and share best practices.Let me know if you guys are interested in meeting up.Sawyer

So I've listen to BP for a bit now and there is a reoccurring phrase I hear not only from the host but other investors and that is "get out and find the deal first".

If I were strictly looking for owner financed deals I'd target people with paid off property that are moving into retirement and want reoccurring, stable monthly payments.  

Check to make sure none of these require a minimum deposit or come with a reoccurring fee. 

Or you may want to check to see if the same problem is reoccurring.  

How would I report the income from this home, do I report all the rent I am collecting such as ($2,100x12months) or do I report Net income after all landlord cost are factored in ($2,100x12months) MINUS Reoccurring/maintenance cost?

This unit just happens to be decent in reoccurring expenses. 

I think we are actually saying the same thing, reserves are required no matter what, the question is method for repair/replacement provider either home warranties bundled service (electrical, HVAC, plumbing, etc.) with set reoccurring payments that includes their administrative fees or individual trades (electrical, HVAC, plumbing, etc.) at competitive pricing at time repair/replacement is needed that will also include their services fees.