As long as they are balanced (depending on your ideal mix), we will keep them forever, or 1031 to another bunch to use the tax write off as long as we can - then pass them to kids with step up basis when we kick the can.We use PM so it's paperwork, regular check in with PM, and once in a while city visit.

Since REI (buy and hold) can be a long term investment for many (5,10,15+ years) I believe it's imperative that you factor in time value of money into any analysis.

Good luck, go for it and don't look back or you'll what if yourself forever. 

Again living at the location, so please factor in that Nashville has a strong sellers market and I do not want to live in a bad area or really far from town.

Agreed, buyers are most often looking for the classic 3/2 although here in Florida with the snowbird factor and empty nesters/retirees there is probably a larger market to sell 2 bedroom homes than other places

If you need to factor in property management costs (around 12%) for a rental, do any of you look to make up the difference somewhere else in the deal for a property?

I'm looking to soon buy my forever house with my fiance and I am concerned that I won't be able to afford my next rental after that.I cash flow (after mortgages) roughly $1,200 a month between the five units (we live in one) and our combined take home pay from our jobs each month is roughly $4,000.I would like to completely finance the next property but also not get a normal loan.

One of my criteria is to get at least $150 cash flow a month on this rental, so I'm worried/curious to see how this increased mortgage payment may/has affected cash flow (leaving out other factors I need to account on the income and expense side). 

What are the important factors I need to consider when buying a co-op?

But it is close to Lowes.It's only a good deal if you forget that you put $23k in the house, and it returns $400 cash a month in rent for ever more.