Any advice is greatly appreciated.David,Here's what I do for my multi-family buyers:Yes it is hard to estimate for maintenance because of a lot of variablesBut I know its expense is less for more units, for things like 16+ unit buildings, onsite maintenance room for storage materials, onsite employees use less hours to do work ordersSome entities even volunteer their residents to pick up grounds, hence minimizing your maintenance costsIf hdsupply.com accepts your account they specialize in multi-family buildings and you don't have to use man power for delivery or pickups And yes, you can do analysis paralysis but it might help you the bank's formula DCRThe 1031 buyers look at expenses differently Yes there's a number per door, e.g. if the units have been neglected you will spend at least one month's rent in turn ready unit expense    An organized well lubricated team should turn ready units in 2-3 daysPay close attention to the human factor, i.e. low self-esteem employees who will take longer to turn ready units or do work orders with poorly workmanship, theft, etc In capital expenses, concentrate in a few and more expensive to start with, AC, plumbing, electrical

I'm not sure how much flood insurance costs on a duplex or triplex in Galveston, which would be a huge limiting factor potentially.

It's good to note that mortgage insurance is no longer a write off and was never as such for people who made more than 110k AGI anyway (it phased out from 100k to 110k AGI).When considering FHA you should consider that huge upfront MI and the monthly paid annual MI factor of .80-.85% as well.

@Matt Holmer Financing is always a factor in cash flow and needs to be modeled into your long term plan.  

If you can achieve a 5% return within driving distance with a 2 risk factor (risk based on a scale of 1-10) but outside the driving distance you can achieve a 20% return with a 3 risk factor it's wise to at least consider the property further away.  

I read in your profile that you have been balancing a full time job and part time investment life style.

You need to factor in property management at 10% of the monthly rent, and then another 10% for monthly repairs, along with your 10% capex. $100 for capex/repairs won't be enough in the long run when it needs a new kitchen, roof, flooring, and bathroom in 20 years.

Also, remember that lower than median rents for the area are prone to bring more headaches, and increase the hassle factor of being a landlord.Always do your due diligence and don't forget to include CapEx on these old homes! 

My understanding is that, even though other buyers may have access to the mls, they still find wholesalers valuable because they extend the buyers reach, and give them the chance to see deals they may not have seen otherwise because of time or any other factors.

I'd have to pay 5-6k to get the cash back out or add that cost into the new loan if it's a "no closing cost" refi.Does this strategy factor in the closing cost for Cash Out?