My question is, if I gross $1100 rent on a property, spend $100 on random utilities, small repairs, etc. do I subtract those expenses from my 20% before depositing into my long term savings?

Just randomly give away a free $5 starbucks card for the first person to answer a simple question (can be housing related or not--it's just more for fun). 

you ever tell random people that you happen to be friends with on facebook but never met them in person that you are an investor?

My situation is a bit different, but if I was to rent out to a random person from Craiglist, I would vet them to the nines. 3) Yes.

As I was taking trash out where I work I found a random yellow letter on the ground!

Usually when the grill gets lit, friends and family randomly show up!

I was at work yesterday and I was being pressured to sign the contract as offers were due yesterday and I randomly asked if they were also representing the seller and they said yes. 

I'm not addressing cash flow here, because that's deal specific and investor specific.But here is a little tour of a "Typical (San Antonio)" (C minus) neighborhood with typical (C minus) structures I picked in a random neighborhood on Google drive around view.What (to me) makes a (C minus) area (in San Antonio) is an abundance of, Loose dogs in the street, fenced front yards with fences leaning and in disrepair, yards full of all sorts of debris (because the little houses lack storage space), antique (who knows how old) paint, neglected leaning secondary structures in disrepair, car repairs going on but seemingly abandoned, pickup trucks from the Carter Administration to the early 90's, Residents who WORK for a living, No chain of Murders, No Sal-mon in the fish tacos in neighborhood restaurants, decent nice (helpful) people you can talk to, extended families living close to each other who help each other, not unlawful in their ways.

@Casey Serafino-LeeI don't disagree with anything you wrote... but, also know that plenty of investors on BP in high cost states have bought random lower cost properties in the midwest that turned into money pits.Some of your concerns can be mitigated with effective screening and a high quality property manager.Have you considered a market you can drive to that would let you be hands on, but might be lower cost?

Just picking a midwestern market at random bc it is cheap is a bad idea.