Of course, you may not be able to expand as rapidly, but I'd prefer both an equity buffer and solid income over balancing a bunch of debt that barely cash flows (relative to units that are paid off).

I need to figure out what kind of buffer I should put on the repair costs to ensure I'm not underestimating.

And nervouse with all the other stuff I do not knowMaybe I do a hard money loan for 20k for the rehab and the 5k buffer to cover what ifs in the beginning.

So I like a 5% buffer. 

I wouldn't recommend going below 20% so you have some room to have as a buffer.

I'd rather go in with a pool of money to act as a buffer to help float the venture than assume nothing will happen and hoping for the best. 

Make sure to give your self some buffer to include Tax, Insurance and HOA if applicable. 

Trees are considered natural buffers so there is no requirement to clear brush or otherwise interfere with them.  

thanks all, I am ok for now with 1 year lease as I want to avoid double mortgage payment to create buffer.

I'll keep a certain buffer amount in the checking but then I'll transfer anything over that to savings).