We processed their application, the qualified and signed a lease for June - then they went home and we went back to work knowing we had a tenant.Since I've rambled on enough in my first two posts, I'll get straight to the pictures this time.Note that these pictures were taken at 98% complete; the following items were outstanding:pulls/hardware on the kitchen cabinets;black faceplates and one black 4-way switch for the media/accent wall had not arrived - you will see the "obviously-out-of-place white" covers and switches in the photos;the work surface over the laundry pair had not yet been installed;the handrail on the stairwell had not been installed (we usually leave them off until the movers are finished).Let us start in the kitchen:Then move on to the dining room:... and into the living room:Next, down the hallway to the laundry and bath:The laundry also doubles as the communications room and holds the patch panel for all the CAT-5e network jacks and the entrance for the fibre-optic cable from the service provider.We went with a clean and modern look in the bath - but did choose not to use tile.Next we head upstairs to the bedrooms on our new stairs - a two height landing with hardwood stair treads.Both bedrooms have a sloped ceiling along the front wall and in the walk-in closet ...

My mother owns a small house to which she has added a couple of big ticket item improvements.

I tell my clients to make a sheet on a scale from 1 to 10 of how important each item is.Pre-pay penaltyDown payment percentageSecond mortgage allowed - Lender only mezz debt or seller second?

Might help to lay some of those items out so you can develop an attack plan to get your building leased up.Think of some complimentary businesses  -- if you want to put another hair salon on one of the floors, have a hair salon on floor 3, or possibly have the 3rd floor dedicated to hair/body care -- IE build out 500-600 sq ft to one hair stylist wanting to go out on his/her own - get an esthetician to take additional space, a massage therapist, pilates or yoga studio, physical therapist, etc-- have them all on floor 3 if you have the room or floor 2 etcGo visit your insurance agents in town, accountants, attorney's, sell them on moving to your place, have lunch with them, take them coffee/donuts etc - sell the place yourself, I certainly would not pay marketing for a broker nor sign an 18 mo contract with one.  

She has helped me fix items and helps with the Quickbooks accounts. 

You might find a good deal here or there but most of the items are garbage (esp on craigslist).  

Only one action item that you need to accomplish to get to your goal of buying your first rental property.

If your property is newer and you hold for say ten years etc. you will have bigger expenses hit bringing your cash flow down in the middle to later years as bigger ticket items start wearing out.1,100 in rent for 85k is not bad. 

The best way to learn rehab cost is to find a guy at reia or recommended who does work and offer him a little money to walk a property with you, point out the problems and "common pricing" for these items, thats not the time to ask can I get it done cheaper, you want to be able to look at a house and throw a rehab cost in 20-30 mins or less, so you will get common ball park pricing for items.

And reality is that cash flow could be (well) above $6000 because some of that 50% is based on items (like vacancy, management) that you can somewhat control and minimize and some you can defer to later. (*) If I were in the 0.5% (the really top end, e.g. google founder stock) then I'd focus on issues at a completely different level.