I look forward to reading your contributions here at Bigger Pockets.

Come join the Memphis Cash Flow group on Bigger Pockets.

You also are not going to get it with no money out-of-pocket, you’ll need to put at least 10% of your own cash into the deal and have adequate reserves.

Even minor and routine rental expenses, like a two week vacancy, cleanup, and advertising for and screening a new tenant will be out of pocket.

I assume his commission would come out of the loan principal and not as cash out of my pocket?

Yes, many, many people bought homes at the inflated bubble prices with absolutely no money out of pocket.

That will give you more cash in your pocket, but that's just the 6.5% return on your cash.

I am sure your experience will be invaluable to new individuals here on Bigger Pockets.

Simple calculationRent: $450Expenses: $180 (40% of rent)NOI: $270P&I: $155cash flow: $115Looks OK to me.With a more conservative expense ratio of 50%, it looks like:Expenses $225NOI: $225Cash flow: $70If you're doing the property management and minor maintenance yourself, that's another $45-70 in your pocket each month.Why 20 year amort?

My plan is to take the equity while I can and be prepared to strike when I need to at the same time pocketing more cash with mortgage payment savings.