In May 2013, a tornado came close to both properties and resulted in damage resulting in two claims (nothing as major as you think - just re-shingled roofs.

We get roof laid at $35 a square labor.

Management: $240 (10%)Cap Ex: $240 (10%) (roof,water heaters, electric heater, hvacs are pretty new)Vacancy: $120 (5%)Lawn Upkeep: $120 (5%)Repairs: $120 (5%)Approx Total: $840_________________________________________________________________________________-Total Expenses/Profit Margin-Income     $2,400Mortgage: $1,350Operation: $840Profit:        $210Deal or No deal? 

I live in Wisconsin and was wondering if there are issues relating to property inspections when there may be snow and ice obstructing critical areas like roofs and foundations.Responses from investors in Wisconsin or similar areas is appreciated.

Maybe I am missing something but even though the mortgage may be getting paid off and your making a 10 percent cap rate I don't see how you would survive say a roof repair or even afford property management. 

It is a good community to network and learn about all aspects of real-estate investing.

A roof that is 25 years old will be replaced with a new roof.Actual Cash Value will give you the cost of the value of the property, less depreciation.  

It is a good community to network and learn about all aspects of real-estate investing.

It place is a great to meet new friends and learn about various aspects of real estate and more.

(although they did just put a new roof in, so my capex budget might be a bit high.)So my question is this: Do you go after the higher cash flow in the worse area (not that it is by any means a war zone), or buy in a great location that may not cash flow as well, but is almost certain to appreciate over the long run.