You might want to check those numbers to make sure that's what you're looking forJust a back of the napkin calc shows that your month net operating income might be almost zero  Asking price $135000 Monthly payment  ~$1600 Monthly income  $1800 Water  $80 Repairs  $100   Total expenses  $1780 Total monthly NOI  $20   Keep in mind that $100 for repairs a month is probably a low estimate and the monthly payment of $1600 includes taxes, insurance, principal and interest.

My CPA has instructed me that the auto expenses (at least the proportion used for rental activities), overhead such as office supplies, software, tax preparation, and other items which occur to operate the rental properties (AS A WHOLE) are expensable on Schedule E relative to the activity (e.g. based on number of units per property) by "cost accounting or cost allocation".

Thanks a lot man,,,It's interesting that there are so many people that would rather bet on appreciation....rather than go for cashflow.

Does anyone want to take me on a field trip here in San Diego so I can see first hand operations?

Well, of course I wouldn't bet my money on red, but I am considering investing more of a science, not mere luck.

I am only 2 years into this so I have not gone full cycle but I would bet the smaller operators will return more roi than the larger ones.  

When I worked for a large apartment owner/operator, they would buy an older apartment (around 20-25 years old) that was outdated and rehab it.

If this PM cant operate to your standards, then it will be a constant source of conflict. 

I used to love airline travel  (25 years ago) but the way the airlines operate now I don't fly unless there just isn't any other feasible way to go.

Know one knows what will happen with the properties surround the old hospital, but I would bet that any neighborhoods around the new hospital's location will benefit.