Purchase price: $53,000 Cash invested: $40,000 Sale price: $139,000 Upgraded this split floor home with new roof, fresh paint inside and external, new carpet, upgraded kitchen and bathrooms.

Worst case scenario: Tenant didn't pay his utility bill and there are frozen pipes or a fridge full of spoiled food, some carpet is trashed, there are holes in walls and doors, and the place is full of pet hair, odor, and stains.

Obviously, when they move, I'll have to replace the carpet.

So we get over there today, and the floors are soft and rotting, carpet ruined, black under the sink, obviously been going on for a while. 

We painted the entire inside of the home, brand new carpeting upstairs thoughout, brand new HVAC systems (2), and did some other freshening up. 

It could be that painting was required or replacement of carpet.

I am pre-approved for a 3% conventional loan and would be looking at PITI+PMI=$2238/month i was then adding a total of $388/month for capex/repairs/vacancy. the plan would be to rent 4 rooms out for a minimum of $600 per room and then I would be paying $226/month out of pocket still. 350K is the max I believe it would be reasonable to pay but Ideally I would be looking for something for 300-325k that needs some basic repairs (paint/new carpets/etc) and I could be living for just about free.

Replaced carpet with new plank flooring updated kitchen and replace some windows.

I use the term "scrounge up money" but it has no relation to what someone can afford, reptiles might actually be better pets as they don't chew or dig, or tear up carpet, they just sit in the box most of the time. 

For example, carpets and appliances can be deducted immediately if separated from the rest.