I used to think that $1525 rent - $1207 PITI - $60 yard maintenance = $283 cash flow, but after browsing this site I see that I have left out vacancy and maintenance (will self-manage).

I've found a very pretty property with 10 acres, 2 car garage, Huge front and back decks, big pool with deck, back yard is literally state forest.

They might have restrictions on rentals as @Jeremy Tillotson said among other things (my sister in law didn't ask details about her homeowners association which does not allow fenced in yards so now she has to walk her 80 lb dog with her 2 year old and 9 month old kids)

We were thinking of not wasting our time this year then I thought I could salvage it with this idea.

Living proof that you dont need to own property right in your back yard.  

Here are the numbers and how it all went down.Project TotalsPurchase Price - $78,090Acquisition Costs - $11,470 (Hand Money, Closing Check, Home Inspection, Appraisal)Rehab Costs - $39,300 (Materials, Labor, Interest)Holding Costs - $0 (More on this below)After Repair Value - $148,000Original Mortgage - $70,280Equity - $77,280Refinance NumbersCash Out Refi - $45,000Home Equity Loan - $14,000Bottom LineTotal Cash In - $50,770Total Cash Out - $59,000Net Out of Pocket - $-8,230Going ForwardNew Mortgage - $118,400 @4.25%, 30 yearHome Equity Loan - $14,000 @5%, 15 year (estimated, not complete yet)Equity - $15,600LTV - 90%Rental Analysis (est.)Gross Rental Income - $18,000 ($1,500/mo.)Taxes - $1,500 (Annual)Maintenance & Repairs - $1,800 (10% of gross rents, annual)  Should be very low as this was a complete rehab.Prop Mgmt - $1,800 (10% of gross rents, annual)Vacancy - $900 (5% of gross rents, annual)Insurance - $500 (Annual)Utilities - $0 (SFH)Lawn - $0 (No yard)NOI - $11,500Debt Service     Mortgage P&I - $6,989 ($582/mo.)     

Old tenants son has junk left in our yard, furniture left in the house and has his work truck left in our driveway. 

This new railroad connects the transcontinental rail yards near downtown Los Angeles to the ports of Los Angeles and Long Beach along Alameda Street via a series of bridges street improvements. underpasses and overpasses.

I'd eventually transition out to a private property to raise my family (I need a yard for my baby girl) but would like to have it as an investment as well.

To my fellow Wisconsinites with all the snow this year, we are reconsidering our policy on snow removal and yard maintenance.