Purchase price: $620,000 Cash invested: $20,000 Sale price: $727,000 Source: Cold CallPurchase: Off market with owner financing.Price: $620,000.

unfortunately, they're not great at generating immediate, W2-replacing cash flow, even if you paid all cash, which is also something i would not recommend.if you want to dip your toe in the water and buy one - great. 

It is probably worth giving DIY self-management services another shot -- this way when you do go with a PM you'll have had your first experience managing it on your own, so you'll know what to look out for).

Most likely if you rent it, it will not cash flow to cover the mortgage so you could still be losing money every month.IT would be good to compare what options is better for you. 

I would not anticipate much turnover so could be good cash flow over the long run, the question is the long-term appreciation… depends on your strategy and weather you’d be managing themselves or relying on unknown local property manager, contractors, etc.

Unsure if this has any impact if you are doing an FHA loan but worth asking your lender about. 

Go to local meet-ups, make friends with people who buy houses with cash, and look at lots of houses.

I'm fully aware of the intense competition, but after visiting several areas, I still believe the Midwest is worth the risk.

This allows you to put down less upfront, freeing up cash flow to improve the property.

So then the question is is the $15k worth it?