Is it moving into or away from the area Study the current VACANCY RATES compared to the past 5 to 10 years.I don't invest in the purchase of MHC's, however, I do invest in MH's and SFDH's, I've followed these principles since I started investing in RE over 45 years ago.

Roughly speaking, I am considering using 5% of monthly rent for CapEX and 6% for vacancy.  

+Lower turnover and vacancy.

Income is 50k, little vacancy as it rents quick and not a ton of turnaround and is in a good ruralish area.Building is either from 1991 or 1988.

Cap Rate Net Annual Income 2868 Purchase Price 20,000.00 Cap Rate 0.1434 Annual Expenses Rent Taxes 312 5400 Annual HOA 0 450 Month Insurance 600   Management fee 540   Vacancy 540   Repairs 540   Mortgage 0   2532   Any insight would be great!

From a fire at a nearby property and resulting damaage to The Shelby", to delays in fire damage repairs due to Covid 19 restrictions, to renters not paying rent due to Covid 19, to an approx. 20% vacancy rate, to insufficient reserve funds, to an obvious lack business loss insurance - Passco continues to underperformance on every statement they made at their seminar - from the safety of the investment based on their previous track record, to the expected annual distrubution amounts paid out.

@Keith Marble you are missing a lot of the expenses (property management, repairs, maint, vacancy, loss to leas, reserves, etc.)There is no way insurance is $320/year for a $200K property.

They may not know the Fair Housing laws, take too long to fill the vacancy, have licensed vendors.

Property management is generally 8-12% of gross rent, so once you take that out, plus your PITI, and reserves (I use 5% of gross rent for vacancy and another 5% for maintenance--I've seen Brandon use these percentages in the BP calculator too), you won't have much, if anything, left over for cash-flow with just $1500 in gross rents...

That cash flow is after PITI, Maintenance @ 5%, CapEx @ 5%, Vacancy @ 6%, Property Management at 10%, Gas, and Water.