looks like a good deal rahman on paper, couple of things I will look for is water bill 100$ for three units is very low that bill alone can eat into your cashflow.check the area out as Ali B is suggesting, if its not an OK area expect higher turnovers, vacancies.

Usually I just eat the security deposit and that's it.

Owning more properties is not fun in and of itself, and can eat you alive unless you've been careful about the math.

I've taken your advice, and I'm continuing to network here on BP, as well as eat up as much material as I can get my hands on.

Just a few hurdles I see areSome banks don't want to do loans of $50k, they consider it to small so check with banks prior to be sure.Just going by your example numbers, by the time you pay closing cost to purchase, and all of the refi cost, plus any holding cost your going to eat up the excess $2,500 your showing in your example.And finally, most banks are going to want the property to season 6-12 months before they are willing to refi.It is possible to work around the hurdles I have mentioned, but these are the most common things you should be aware of.

Let's say values fall 20% eating up your entire equity, you're still cashflowing.

Watch out for the PMI that can really eat into your returns.

I graduate in May have an almost identical salary and nest egg put away.

That can eat up a lot of profit.I am curious why you thinking this might be too good to be true when you said that it is listed $90K more than similar comps.

Simon Sinek's "Leaders Eat Last""Blue Chip Real Estate Investing""Flash Boys" Michael Lewis