Once you locate a property you think might be a good acquisition, you need to calculate the cash flow by plugging in actual numbers, like PITI, HOA fees, property management, funds for maintenance and reserves for capex items and vacancies.

If all of a sudden you have vacancies on 6 of them at once, that is a huge blow to your cash flow and you need to be able to cover that yourself, so have big reserves for each property as well.

Sarah hopefully you inspected this unit and have healthy reserves.

You need buy cheap with good margin, have good reserves and have good contractors working for you.  

Contact the HOA and ask to see a budget and reserves prior to buying.

You just need to be prepared to not be limited by what you hear.You can get up to 10 conventional loans for investment property, provided that you qualify and meet the other requirements - which is not easy as you get more properties, mainly due to DTI issues and reserve requirements.The bank originating your conventional loan underwrites to Fannie Mae or Freddie Mac guidelines.

I think I'll see what deals he comes up with and consider loaning some of the money I have if it's a great deal, keeping a reserve so I'm not in trouble if things get delayed. 

FYI, your 10% budget for capex is for building reserves and isn't an expense that hurts your NOI.

I believe it would be in your best interest to start working on your cash reserves.

I have some cash reserves, put away for a rainy day in addition to lines of credit that are currently have no balances.I put a great deal of $ into my 401K and brokerage account, so there's some potential to tap into those if I needed to, but I'm not sure that's the best idea at this point.