First time investment property help

[Josh Weiland]

Hi guys,

I am new to the forum and have loosely been looking into buying a rental since 2012. I am now living in the states full time, and I want to have an investment property purchased by the end of 2013.

I have slowly begun the process by talking with my uncle, who is a general contractor in Omaha, NE, about the rental market there. He owns one investment property and is helping me look for my first in Omaha.

I have worked with a couple of banks and I got approved for a 4.5% 5 year fixed reset on 15 year AM putting 20% down. My first question, do I need to make sure to lock in a max rate % they can raise me after the 5 year fixed is up to protect myself?

I am looking at a property that is asking $99,900 and my uncle suggest I should offer $96,000. Its a single family home with a two car garage and yard in a good school district.

20% down - 19,200
annual insurance- 840
annual property tax- 3,000
annual utilities- ???
annual maintenance- ???
annual management- 600 (uncle will do upkeep and deal with issues)

What expenses am I missing to find out if this property will cash flow.

Any advice or help is appreciated.

Thanks,

Josh