So before you end up eating the bill, I’d definitely push back on the HOA. 

If you want a more concrete list, some of the worst ways to spend money (in my opinion):Going to the movies, buying drinks out regularly, trendy home decor (that will soon be out of style), buying a new car, eating out regularly, impulse buys (of basically any kind, to include travel unless it's an insanely good deal), books you won't read (if you know you'll read them it's fine), anything to "keep up with the Joneses", basically anything that won't last. 

This could eat up your cash flow and set you back if you're not aware of the implications.  

A $400k house in closing cost  will eat that $20k

This is because the units are usually older and the maintenance fees are higher, thus eating into the cashflow.

If buying the property will eat up all of your cash reserve, then you're better off saving more money first or finding a partner so that you can increase the amount of available cash that you have at your disposal.

You also have a decent amount of deferred maintenance that would need to be addressed in the near future that would literally eat up all your cash flow for the next few years. 

It's only a stepping stone to break free.While you are slaving, eat ramen, roommate up or live in trailer, avoid Starbucks and tuck every dollar you can squeeze out into a bank account. need 20% down and money for materials. so for 80K home (trashed), you will want 35K banked to get started, just a rough idea.Then, get pre-approved.

You won't get quite as much cash in hand and your cash-flow will decline due to the higher note, but could be a good way to have your cake and eat it too.

Eats into that profit margin pretty good.