for a flip, as long as limbs aren't hanging over your roof or could fall on the house, I wouldn't be too concerned. 

I amworking with a lender right now to get pre approved and would be looking to buy staring sometime in the Fall.

Case 1 meets the 1% while Case 2 falls just short at 0.9375% (I handled all that hard math for you guys). 

Believe it or not borrowers tend to fall asleep at the wheel unless they have to write a check each month.

When you have less than 4 units in most states, you don't fall under codified landlord-tenant law, so if you're really cash strapped you can put the $1000-3000 in security deposits in your bank account and fix up your house with this money in the beginning.

If you refi with 3700 PITI and 370 vacancy then that falls to -450 CF.

I am originally from Sioux Falls, South Dakota but I am in the Army currently stationed at Fort Carson here in Colorado.

I'd need to BRRR and pull everything out plus some...meaning I'd have a great ROI because I'd have nothing invested...On the other hand, if a SFR yielded 1300/mo cashflow, I might be happy with as low as a 10% ROI because of the absolute dollar amount returned for my amount of effort.Where you fall on this spectrum also depends largely on how much capitol you have to work with and where you are in life with respect to your goals. 

They fall in love with their deals and think it's the best thing since sliced bread, and consequently, their short-sightedness led to their demise.

I just want to make sure that I do not move forward on a deal only to have the financing fall through.TYIA,Mark