The reason I am keeping a rental despite my preference for flipping is due to the fact that by having some passive income flowing in, it's easier for me to keep a rational head when identifying deals since i am depending on flipping and doing deals as a full time job and sole source of income.Without some source of income, I get antsy when I haven't flipped or done or deal after a long period, increasing my chances of making a mistake.

Not rationally.

But wouldn't this help your debt to income ration considerably?

allow me to rationalize for just a sec:1.

You should also have the security deposits moved over to you along with the rent pro-ration you are entitled to.

You have only included 2 of the operating expenses and the mortgage payment.If you post the gross rents and your mortgage payment (P&I), we can evaluate this deal and give you a rational answer.Splinterlife, To take advantage of the capital gains exemption, you must live in the property for 2 of the last 5 years.Mike

Almost makes you wonder if he was a drug addict, because his actions sound almost implausible to a rational person.

Originally posted by "Rehab702": On the down side if you buy a house for the purpose of renting it you will still have a negative cash flow as the rent to price ration is still only about 0.6%, this means that a $250,000 house will rent for about $1500. 8)Are there any locations in the west coast that gives you positive cash flow in renting?

Those have a much better price/rent ration.

Only presenting the rational behind my willingness to get involved with low income properties so that others(reading this thread after your comment) that may not have the capital that possibly you had to start with, or don't feel comfortable with too much leverage can have food for thought from the other side of the coin.