Find out how much the fines are likely to be and take that amount out of the deposit. if the tenant challenges it the HOA will likely have made a decision by the time your tenant takes any action. 

As long as I’m in the positives.

I hope you take action.

Positive cash flow that should reach the 1% rule in 5 years.

That is a great action plan... couple quick thoughts (for thought only, your plan is solid... always good to brainstorm, though).Given that our market is pretty competitive, have you considered the specific steps to transition from your home to the new investment property?

I've been in your position with a recent 2 family I purchased.

I personally have basic knowledge and a desire to take action and get started.

Do your homework ,find the right property ,and take action !

I was in the same boat but once I figured out what I exactly wanted to start with (buy and holds) I made a plan of action to get started.

@Jordan Pothier if you want to feel comfortable there is no replacement for taking action and making those calls.