This will be negative cash flow if using sustained maintenance /cap ex.

Since you’re open to out-of-state investing, there are definitely some great opportunities out there.A few things that helped me:-Finding investor-friendly agents/property managers who actually understand rentals.

That could be achieved without spending an inordinate additional amount in cap ex; In fact all I have seen had these items in common1.

Unfortunately cap ex usually catches up to them and the appraised value rarely translates to a similar sale experience and all along the property has merely been a highly levered property.

Any recommendations of a good realtor who understands the needs of an out-of-state investor who works the Lorain area of OH would greatly be appreciated. Thanks!

Ex, can't get one through Chase bank here, but went to our local Credit Union.

Maintenance/cap ex, insurance, if a rental PM, bookkeeping, misc.The fact you have a loan means 1) leverage 2) equity pay down.In addition, there are tax benefits.So I will do some rough underwriting as an OO non-rental at 95% LTV (because FHA has some undesired consequences that make the 1.5% difference in LTV worth avoiding the FHA).equity paydown: 20% (using OP interest rate at 95% LTV and not counting closing costs). 

Most transactions between friends or loved ones fail.

People will rent homes in that area because they cannot yet afford to buy, but hope to buy a newer home in the future and keep the kids in the same school system and around their same friends.

Mechanicals, roofs etc. can be towards the end of their useful life and pass inspection but then the cap ex can't be absorbed in many of these C/D neighborhoods.