On the positive, there is a ramp up time to reach peak revenue.  

Because the Property Class dictates the Class of the tenant pool that the property will attract.The Tenant Class greatly impacts rental income stability and property maintenance/damage by tenants.Both Property Class and Tenant Class will affect what type of contractors, handymen and property management companies you should target and be willing to deal with a property.The Property Class will also impact the maintenance & renovations you do to, “Maintain to the Neighborhood”.Why is that important?

Because the Property Class dictates the Class of the tenant pool that the property will attract.The Tenant Class greatly impacts rental income stability and property maintenance/damage by tenants.Both Property Class and Tenant Class will affect what type of contractors, handymen and property management companies you should target and be willing to deal with a property.The Property Class will also impact the maintenance & renovations you do to, “Maintain to the Neighborhood”.Why is that important?

How did it impact your structure?

Personally I’d want closer to $1k/mo positive cash flow to make OOS investing worth the extra effort, expense and risk.

But I think you are overestimating the impact. 

I told a realtor that was selling a house with 0.5% rent ratio who indicated 50% expense/income impact was too high that the property tax was 20% by itself.  

When underwriting a property, assumptions related to its debt can have a significant impact on returns and valuations.

You all had an impact on my financial future, and really appreciate that strangers are willing to step in a help me in the confusion.

Quote from @Ruth Schrader-Grace: Quote from @Ashish Acharya: Hey @Ruth Schrader-Grace – a little late to the party on this one, but I think you’re in a great position if you can figure everything out from the lending side.