Points charged on loans (% paid up front at closing, basically an origination fee) and interest rate..usually closer to 12% when you're starting out.Payment schedule - most will expect monthly interest only payments, but some will let it accrue and settle up at closing.Minimum loan amounts - if they only loan in amounts of $200k and up, then you're wasting your time shopping for $150k properties.Doc prep charges and other hidden fees (preparing the mortgage and note is a necessity and you'll have to pay for that, but watch out for other hidden fees). 

So, yup, expect a tax bump.

As a side note, I have some concerns about rehabbing a house and then turning it over to tenants for a few years and then expecting it to be ready for sale.

I tried to have the home warranty people come out at the recommendation of my realtor and as expected it cost me $60 and they can't do anything until it is broken and will just put bandaids on until it is completely broken.As he was leaving though he stated he knows a guy that can give me a used a/c unit if I needed.

I think most would agree that using an email address + bank is a reasonable expectation for pretty much any transaction in 2018, much less one with such a high value.I suggest that you should seriously consider either forcing the tenant to adapt to your online management (given that you aren't asking doing anything unreasonable with the rest of your tenants which I presume you aren't) or increase their rent as you see fit to pay for whatever inconveniences you're taking on to accommodate the tenant.You may have inherited the tenant in this "state", but unless some agreement was written into the lease prior, I personally wouldn't see that to be enough reason for you to go through so much trouble.With that being said, I believe 100% in going above and beyond for my tenants and if you feel that this is makes sense for maintaining the brand of your landlord business, I say go for it and good luck!

The one i'm working on now is way up there at $800k and many friends say...way to high Phil....but I figure out the expected profit and I think it is almost better than a house under $200K. 

@Marie WitheliduaClearly, you expect these people to respond well to guilt or shame.

In order to do it right, you either have to rope an agent into the mix (who has the means with which to do the CMA appropriately) or spend far more than the 15 minutes that I'm expected to spend on analyzing deals every morning. 

@Shelly Shanks For buy and hold the formula is relatively simpleAnnually:(Monthly rent x 12)- property taxes - insurance -property management fees - HOA fees if applicable - budgeted maintenance and repairs- expected vacancy - loan payments.This will give you your annual cash flow. 

This got me thinking about the long term expenses that most houses will need and does the overall ROI seem reasonable.So I googled some info and tried to estimate life expectancy of house appliances, carpet, roof, etc and costs (item + installation), then figured out the monthly cost out.