it doesn't say anything about making up new rules out of thin air. 

There are hundreds of markets around the country that can provide exponentially better returns than you will find in California AND without the BS rules and regs. 

My asking price is $100,000 which would put this as a rare 2% rule property.

Following this "Rule", you will never need any more money from other sources, since you will continuously be supplying your own...at will.Use your seed money, spend your profits...after, you've reinvested your initial profits to expand the original seed money. 

Other cities have different tax rules and tax rates.

When you decide the asset type, then you set up your buying rules/ criteria. 

When you are doing deals with a partner, it is (as a general rule) a very good idea to be set up as an entity.

Other thing to be aware of is secondary market has some strange rules about reserves once you reach anything over 4 units. 

i do notice though that redfin has identical if not the exact same info as the mls listing, which zillow doesn't seem to have. great info, but do lmk about how to find similar prices on redfin like i do on zillow. thanks 

Unless you have the actual financial data to back your analysis you would be better served staying conservative using something closer to the 50% rule for expenses.It could be a possible deal if you could have a lower Purchase price and/or room to raise rents.