It is going for 109,000 I want to try and get it for 90,000.Monthly gross rent-$1650Expenses Tax-264 a monthWater- 100 per month estimatedHeats-100 per month estimated insurance-100 per month estimatedvacancy-115.50 (7%)Capex 82.50 (5%)Repairs 148.50 (9%)Management 165 (10%) P&I 386.51Garbage 50 per month estimatedTotal 1,511.68 Monthly Cash flor 138.32COC- 6.64% Pro Forma cap rate-4.84%purchase cap rate- 7%2% rule 1.70I don't know if the seller would accept 90,000 but its a smaller place needing updating and has been on the market for about 130 days.

i want to end up in multi family homes in the long run, but i have no money down, no money for vacancy,repairs,rehab, etc.. my idea was to start with a single family home(easier) with good equity, live in it. but fix it up a little & house hack to pay my mortgage. then a year or two down the road pull out the equity or even sell and purchase a multi family home that way ill have more money to back me up. how does that sound as a first investment? 

Yes, that’s profit after taxes, HOA ($241 monthly), 20% management fee, and repairs.

This is bearing there are little to no repairs needed.

If you have a nice team, maybe your management company won't destroy your cash flow with a million needless expenses that you have no way to verify to see whether they are actually necessary.Just a heads up from personal experience in living in the Akron "war zone," I would never invest out of state in Akron without local assistance.

You won't need to do any drywall repair, so that's a plus.Here is an example picture:https://i.pinimg.com/originals/67/ca/af/67caafa0e2...

Asking is $110k and repairs are about $40k. 

Determining After Repair Value (ARV) for flips is done in the same way - What are comparable properties in the same area ("comps") selling for?

Please let me know if I'm not including any expenses or missing something key.Property Details:- 3 / 2, 1374 sqft, $89k askingExpenses ($802)P&I: $369Tax: $188Insurance: $70Utilities: $50Vacancy: 5% ($62.50)CapEx: 5% ($62.50)Total Investment (Down Payment + Closing + Repair) = $25,499Rent = $1250Cash Flow = $448Cash On Cash ROI = 21.08%This is a single family home in an area where I've competitively estimated the rent (Most units running between $1150 and $1450). 

As for the rest, there are major differences between Net Operating Income and Net Annual Income (or annual Cash Flow – which I consider the real measure of an investment performance, how much money puts in my pocket on a regular basis) and Cash on Cash Return on Investment.Net Operating Income is calculated before debt.Net Operating Income = Gross_Annual_Rent – (Vacancy + Operating_Expenses)Where Operating Expenses = Taxes + Insurance + Monthly HOA x 12 + Monthly Management Fee x 12 + Repairs and Incidentals (Warranty, Utilities if any paid by owner and/or during vacancy, CapEx reserves, etc., don’t forget the CPA and Lawyer costs) Again Net Operating Income is calculated before debt - what matters more is the NET Annual Income (or annual cash flow): NET Annual Income = Net_Operating_Income - Mortgage_PaymentsAnd that leads to the Cash on Cash Return on Investment: C/C ROI = Annual Cash Flow / (Down Payment + Closing Costs)And I’m willing to bet you don’t get C/C ROI above 10% on any SFR in Austin area (based on these calculations and bought with conventional means, not subject-to or assumptions, or owner financing or other creative financing).