The  HOA management company sent all the owners notice a 30 day notice of termination. )I only own my unit and serve on board.  

I'm wondering if our legally unrecognized status will be a factor, negative or potentially positive, as we look into financing our first rental property. 

I don't think it would make sense to leverage your home to raise capital if it means going into a negative cashflow situation. 

That monthly payment, is that P&I only or does that include taxes and insurance?  

I think my problem is I only know one way to rehab...like i was going to occupy the property.

@Richard C.I can appreciate your concern for the seller, but I don't appreciate your negativity... it's a better use of your time to motivate newer investors, versus providing destructive criticism.

So, from these numbers it’s clear that the PMI, low rents, and somewhat low (10%) down payment are reasons why the cashflow is currently negative.

I don't mean to be negative but I also don't want to just blow blue sky up these folks skirts..

I only went to put the deal together once they teed it up for me.In my timber days we did telemarking...

Now...you do need to stomach the frequent little repairs, sometimes late collections, state or federal agencies (who pay a portion of the rent), and/or sometimes the out of place request, but that's worth 10% for me as I only get about 1-2 calls per month from my PM :)Best of luck how you proceed...