Then there's the gift tax potential depending on how the loan payments are getting made and what the agreement is regarding sales proceeds if the house is ever sold.Good for a deep dive with your CPA. 

@Hadar Orkibi I agree education is a must, I heavily invest in real estate coaching at this time but I think I need to do a deeper dive in investing myself. 

https://www.biggerpockets.com/moneyshow If not you should dive into it.

If you're interested in bringing this to life, comment below or send me a personal message to dive deeper!

Andy made it sound like there would be no PMI initially but, he meant only no FHA funding fee so, that caused me to dig deeper.

On the other hand, you may just need to dig deeper by going into similar neighborhoods, checking farther back in time, or look at a different subset of homes in the same neighborhood that do show improved versus non-improved rentals.  

Dive into some forums, ask some questions and network.

I live in Columbus, OH and would love to dive into it.

However I have not come across a single property to satisfy the 1% rule or even come close to 2%.It may be that I just need to look deeper into the real estate market in New South Wales, or look elsewhere in Australia or maybe this figure of 1% is unrealistic in Australia and not so relevant?

Decided to shift gears this year and dive back into real estate because I realized its my true passion and true path to financial independence ( Right now, Im involved with new construction/development of MF units in Los Angeles ).I guess my point is...