So here is the situation...On October 1st my tenant mentioned their washer (purchased by them) was leaking and that there was major warping in the downstairs bathroom (also the washer/dryer room), bedroom, and hallway.

Most will say your expenses are too low; Some guidleines you can adjust :Vacany - 8.3 - 10%Maintenance - 10 %Capitol repairs - 10 % -Remember you are not going to have major CAPEX every month, the 10% is to pay for the new furnance in 5 years or new roof in 10 years if you buy and holdProperty management - 10%Does your mortgage of 571 cover taxes and insurance , or just P&I ?

all major paint company have engineers that you can call for free that will tell you what type of paint to use in low temp. alot of people will tell you not to paint in those condition but that a normal paint they have engineered paint that is made for the cold so check with your paint rep.

there may be relatively minor problems with the property or there could be a major damage to vital components.From the properties that I've seen there is also wide disparity on what is insured/uninsured by HUD.

House is down and having to come up with major repair money and carry the cost.

For example, in Jim Rohn's book The Five Major Pieces to the Life Puzzle there is a short paragraph about little things having big impacts.

The new management told him to hit the streets because he didn't have a degree in a banking related major.

@Tim Pommett what did you major and minor in?

deal #1: PRIVATE MONEY to acquire the property + My own cash to renovate it (only spent $7K in repairs)deal #2: PRIVATE MONEYdeal #3: PRIVATE MONEYdeal #4: PRIVATE MONEY + use my credit card to Stage & market the property (spent $2K)deal #5: PRIVATE MONEYLesson: private money is a crucial component of a rehabber's funding strategy.

Look at the age of the roof and other components.