I tried doing the same type of analysis for multiple properties and keep getting negative cashflows.Address: 11903 Fork Creek Dr, Houston TX 77065Purchase price: $110,000 (asking $128,000)Loan type: 30yr @ 4% fixedCash needed = $22,000 (20% downpayment) + $5000 closing = $27,000Monthly rent = $1,350Property taxes: $209/monthInsurance: $396/monthOther expenses (water, sewage, etc): $100Vacancy/repairs/cap expenditures/prop mgmt: 5/5/5/10Result = $1,350 (rent) - $1,425 (total expenses) = -$75.02 cashflow (??)

Realtor said the owner paid average of $110 in water sewer garbage. 

One thing to remember is with condos one of the biggest liabilities is damage to your unit that spreads to other units (ie water leak).

Look forward to helping you navigate the waters, and hopefully helping each other do some business together.

Yes, they do have HOAs, but HOAs help you maintain the building and generally pay for water/sewer/garbage which you pass on to your tenants.I have been investing in condos personally for a few years now and have seen prices skyrocket.  

But after testing we discovered the water out of the tap (due to lead solder) and the dust in the yard were at superfund cleanup levels.  

And BART across the water is really not that bad.

Renting is emotional, don't hesitate to put a filter on it!

Our force appreciation play will blow out of state cash-flow out of the water by a mile. 100% ROI within 2-3 years is quite easy to achieve with minimal efforts.

Often the rent amount alone will filter out families as you can usually rent student housing at a per room price that is much higher than average.As far as renting by the room or by the unit I rent by the unit, and have all occupants on the same lease "jointly and severally".