I can maybe cover 20% down but I'm hessitent cuz I'd be pretty broke I'm thinking maybe I should keep saving before I buy my first property.There's a 3 unit the bottom is a grocery store it's been occupied 10 years. $900 per month current rent Upstairs there are 2x 2 bedroom apts. $600 per month each Total: $2100Listed $110,000 Tax: $166\moInsurance$176/moUtility's; $100/moLawn/snow care: $50/moVacancy:$100/moRepairs: $100/moCapex: $100/moProperty management: $200/moMortgage$462:moTotal expense:$1443Monthly cash flow: $657Annual cash flow: $7884$22,000 downCash on cash return %35I guess that's what the current owner pays in insurance kinda kills the deal a bit.

@Marie Withelidua I would sell if you have enough equity to cover the commission.

My initial analysis is whether the rental income will he enough to cover the potential expenses.

My wife and I are very design and architecture minded. as for the heavy lifting?

I am thinking a monthly 8% reserve will start to build and cover these gradual replacements.

Way to much work and problems.Best case scenario :  Find distress house and buy at 55% of fair market value....maybe 20% fix up and carrying costs and hope for 25% profit or less.But avoid junkers, heavy damage, roof problems, furnace problems, etc.  

Cover your butt and keep moving forward.

Gurus who teach pre-foreclosure investing often fail to mention "where" to get the money to cover back payments if one does not have the money out of pocket to cover the debts.

I for one think it would be a mistake to buy a 10K property without the capital to cover your *** when things go bad.

FSBO almost always will cover the cost of a buyer agent when pressed.