Do these number Monthly Gross Rents $ 4200Monthly Expenses  Vacancy       $ 336 (8%);  (including here since 50% rule includes vacancy as part of expense)  Prop Mgmt   $420 (10% of gross rents)  Insurance     $208 ($2500 yearly; quoted by insurance agent)  Prop Taxes   $680 (2.9%/year of assessed value; actuals; eats up 15% of gross rents)  HOA fees      $330   Maint Reserves:   $420 (10% of gross rents)  Maint/Repairs       $84 (5% of gross rents)Total Expenses : $2478 (59% of gross rents)  NOI:   $1722  Mortgage: $1215 (25% down @ 5% interest)Approx Cash Flow: $507/month (about $125/unit)Cash-on-Cash: 7.2% (Assumes 25% down + 3% closing costs as initial cash requirement)Thanks,Jacob  

Hello,  I want to make the next step.  

Initially, my cash flow would be in the negative, ~($375)/month.  

. , these are all good questions for an attorney that practices in the state the property is located.Evictions are very state specific and missing a step if you rush into it will only further prolong the process.

Great first step by joining BP.

But a good set of rentals will always provide cash flow, and almost guaranteed equity in 3-5 years (unless you blow the initial deal).   

Congrats on taking the first step towards financial freedom.

I am currently taking the steps necessary to get my Real Estate License and should be done in the next few months...

Anything that forces you to take a step towards your goal is a good thing.

Its exciting to see people taking their first steps at such a young age.