As long as you don't overleverage, don't overpay, and keep enough cash reserves for a rainy day you should be fine. 

And if capital is a concern I certainly wouldn't make the leap into investment property before you have reserves built up.  

Borrower has more than enough reserves. 

Now let’s say that you’re able to rent the unit out for $2,000 per month.Upon receipt of the $2,000 rent payment each month, you pay the $1,000 mortgage, use $700 for expenses and reserves, and keep the remaining $300 as passive cash flow (i.e., money in your pocket).#2 – LeverageIn the example we just discussed, you hypothetically bought a $200,000 rental without paying $200,000 in cash.

What will you do for a reserve?

My information:Fico - 711Still employedNo Consumer debt 6 rentals properties that cashflowvery little cash reserves on handThanks in advance.

It's difficult to give you a precise dollar value of what type of reserves you will need---as the number will be influenced greatly by the type of rehab needed...Here is some advice to consider:- Don't try fund/do all the rehab at once---do it in stages for a more affordable and manageable property transition

most other big bank lenders in the area require more/rates are higher.My question is, before you have large cash reserves or credit linesMikeOH, etc. whom are you financing through in order to get less than 10% down per house, brokers?

The Fed announces new rules for mortage lenders:

http://biz.yahoo.com/ap/080714/fed_mortgage_crisis.html

8)

Should the inspection concludes that the property possesses fundamental flaws which renders the property Inhabitable and /or the repair costs of those flaws would equal or accede the sale price of the property, the Purchaser then reserves the right to remove himself and all his obligations of this contract and the seller agrees to refund the earnest money to the Purchaser in full."