However, as long as the tenant buyer remains in the house, that means positive cash flow.

I tried to include all the pertinent information below:Rental Income: $13,200Rent: Currently has a tenant on one side at $550 per month without a lease – I’ve made it a condition of the sale that the tenant has either signed a new lease with my property management company or delivers that side vacant; other side is not rented out due to required rent ready repairs; rental comps in the area show between $550-600 (I’m being conservative and assuming $550).Expenses:Vacancy: 10% ($1,320)Property Management: 10% of gross rents ($1,188)Property Taxes: $2,065 ($905 for City of Memphis, $1,160 for Shelby County)Property Insurance: $450 per year Repairs and Maintenance Assumption: 2% of Property Value per year ($980 per year)Utilities: separately metered; all paid by tenant except for lawn mowing at $25 once a month for $300Advertising: 6% (roughly ½ of first month’s rent) $792 per yearDebt Service: Based on $49k purchase + repair price, 20% ($9.8k) down, 5% 30 year fixed is $2,525 per yearLocation:This is probably where most of my concern is coming from: Western edge of Hickory Hill, Memphis, 38115; major cross streets: just SW of Clarke Rd and Winchester RdAcquisition:Purchase Price: $42k, seller to pay closing costsRepairs: $7.5kTotal Acquisition Cost: $49.5kARV: Large range of comps in the area, best guess is $60kFinancial Metrics:Net Operating Income: $6,105Cap Rate: 12.33%Cash Flow: $3,580 per year, $298.33 per month, $149.17 per unit per monthCash-on-Cash Return: 36.5%Do you think it's a good deal?

I will say that from the buyers I work with, their goals are not to have much cash flow as much as they bank on appreciation in the 1-2 bedroom market.

It's about cash flow right?

I am from California and have a couple of properties here but am finding it's really tough to find anything this time 'round that will cash flow.

I do not want the income to flow through to my personal return because I want less income to be reported for better college financial aid for my kids.  

My plan is to acquire at east one property a year for 10 years to get the cash flow down and flip homes after five years so that I can quit my job and do this full time.

Would the cash flow Im producing be enough to qualify for a refinance?

Once the full tenant payments kicked in he had significant cash flow with a small investment.  

The issue I generally find is most new investors don't have enough deal flow that they tend to try and make prospective seller a "deal."