Rental Property Investor · Savage, MN · Member since 2016 · 202 posts · 61 votes
7y
Hi @Jose Huijon, Thats exactly how I started as well!
I would also make sure that you run your numbers for your budgets on Cap Ex, Maintenance, Vacancy, and Property management (even if you will self manage yourself) just to ensure your house will cash flow positive. Depending on the age and state of the current house will determine how much you should likely budget.
I myself budget about 3% for vacancy, 6% Cap ex and Maintenance, and 10% property management (which I keep myself since I self manage) But these budget figures are for my own property, and may or may not work with yours.
That is nice if you have an HOA as those often do cover large exterior items like Roofs, driveways, siding, etc... That should lower your budget to save for those CAP EX items greatly.