Our plan is long term real estate investing, our goal of course is cash flow for financial freedom, but big picture focus is forever retirement income as we're in our early 30s.The plan is as follows:  $40k budget.Lets say a home cost of $135k, taxes $4,500 (NJ)Mortgage with taxes/insurance/20% down = $990 monthmanagement, vacancy, surprises = $300 a monthTotal cost = $1,290 monthWould expect to rent for $1,600 for monthly cash flow of $310We would keep $6,000 in the bank from the start as the 6 month emergency fund. 

- Typical in PPM operating agreements (which is a surprise regdresources does not give you one of the more important documents the operating agreement:   is a separate management class of stock.  

IMO you should have a separate fund for your personal well being, 3-6 months worth of bills in cash just in case.If you have that you should also have 3-6 months worth of bills from your investment property. because what if there is a surprise or its a bit harder than you thought to get a good tenant and takes some time.Typically an investment property will be 20%-25% down, though I do believe you can find 15% down loans these days from some online lenders.There will always be surprise costs and fees when buying a home such as taxes up front, title search, other closing costs, etc.If you are rehabbing I would take whatever you think its going to cost and add 25% just to be sure.  

Newer homes would have much less rehab needed as well as surprises. 

Taking these steps prior to mailing the sellers will result in you saving time and encountering less unwanted "surprises" down the road.

The AE also had there internal appraiser look at it and they noticed errors also and were surprised by the errors. 

This saves you work, is one less thing to worry about, and will stop surprise utility bills that can happen if tenants are not conscious of those costs. 

oh yes, as a single female, probably quite younger than you are, i ALWAYS carry my pepper spray...makes me feel good i have a surprise waiting for anyone who thinks they have me in their sites...tis good, because you can see if under IR lights, so if a police report is made and the suspect is caught,they can verify that that was the perp. you'll be okay lady, but toughen up, take the hit, and do whats safe versus what saves you money. being 'liberal' doesnt mean taking anyone off the street into your home, thats a cop out.

Agreed with Ronald, I own a masonry restoration company, and you would be surprised how much people repoint with caulking. 

We honestly don't mind him using his office from time to time, but don't like being surprised first thing in the morning.