Even if you do find such a deal, getting it to cash flow after repairs and a cash-out refinance is extremely difficult, especially for single-family homes.

Purchase price: $90,000 Cash invested: $55,000 Triplex in SE Cleveland (D+ neighborhood)Purchased for 90 and saw 105 for valuation. 25% down plus closing costs and unit repairs has led to about 50-60k going into the deal.

The asking price is under $125k and like mentioned earlier, the renovations would be 50% so there are major repairs (not move-in ready). 

No one understands (except the PM) why it cost $100 to send the maintenance guy to change $3 worth of batteries. 

.🚨 Common issues I see:❌ Not properly tracking repairs vs. capital improvements❌ Missing out on cost segregation & depreciation write-offs❌ Scrambling at tax time instead of planning proactivelyI’d love to hear from the group—what’s been your biggest tax headache as an investor?

So, he's claiming the home warranty won't cover... fine, what's the repair cost?  

It was also difficult to assess the heating situation after repairs since tenant refused to provide key to access unit for repairs and/emergencies, citing “privacy and safety” concerns.

My recommendation is to save money through your W2 until you not only have enough for a down payment but a reserve for repairs as well.

Even if you break even, you will lose money every month it sits vacant, when you need repairs, property management, etc.

Additionally, when underwriting deals, you need to account for the general idea that repairs and maintenance will be a larger percentage of your rent, the lower your rental is.