Vacancies, repairs, management and other costs will eat that $300.00 plus more.

They are 3 different animals, but they are all important.One of the most common things used as an excuse for not getting compliant, is "the rules have not been settled yet".It is true that some rules are still changing.

Mostly though it hasn't been extra people it is animals or illegal growing.

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.

As you probably know SFH real estate and commercial real estate are completely different animals.

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 also try for a minimum of 1000 sqft.... but again, Cali is a different animal.

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.