.#5 Make Decisions Based on the NumbersYour real estate investing strategy should include the financial parameters by which you determine if a property is worth purchasing.Your strategy may include details about: Purchase price range.Investment cash needed for repairs and upgrades before leasing to tenants.Financing strategy for the short and long terms.Bargain purchase (the percent under fair market value a property must be purchased).Immediate value increase (the percent in increased value you expect after making initial repairs and upgrades).Geographic area.Net income.Cash flow.Net cap rate (annual net income/total value).When you find a potential investment property that fits within the guidelines of your real estate investment strategy, you can pull the trigger based on the numbers rather than emotions and personal preferences.#6 Don’t Buy from Unmotivated SellersMotivated sellers are usually willing to work with buyers, so focusing on finding motivated sellers can result in making great deals as a real estate investor.

-> 0 to 10% (model set-up for varying ranges; I can minimize my managing myself, but cost is still my time)Maintenance & Repairs -> ~10% (rough guess - 5% for maintenance and 5% for cap-ex improvements)$500 for other misc per yearAm I missing anything?

For example if it is a three bedroom and they all have reasonably equal rooms and use of the house, you would take 2/3rds of the expenses (mortgage interest, depreciation, repairs, utilities you pay etc) as reductions to rental income on your tax return. 

I mentioned that I have access to an additional $150k based on the quality of products available.

Currently not being rented and it needs some minor repairs. 

I think it also locked him into using the PM for add on lines of business like using their repair services or something similar.This shows that you value the owner's business, but you want them to show loyalty in exchange for holding them in place. 

The entire subdivision has been having their roofs redone, so I can only image ours needs repairs too.

Better quality for the same price as the big box stores. 

Can I ask the bank for the extra 40k to do whatever repairs necessary to my liking, such as on a line of credit.

If you have general repair reserves that weren't used, same goes.However, letting a roof go years beyond its usable life in the name of 'not spending the reserves' is illogical.