Gross Rent > mortgage p&I + ptax+insurance +200$ buffer for vac/maintenance. 

right you are @Huong Luu. it doesn't have any buffer

One unexpected call like this can wipe out your cash flow for an entire year if you're into the wrong deal, and you don't have proper buffers budgeted in your numbers from the start.Bottom line, run your numbers conservatively and get into the right deal.

In a market where appreciation is expected to be stronger I think it is ok to accept lower cashflow but I would never go cashflow negative and I think you should always have some buffer built in so that if rents go down (yes it does happen sometimes) you're still cashflow positive

If so, get 3 quotes, take the highest one and add a 20% buffer.

He even asked for an appraisal buffer because he had bought it for 75% less 12 months ago. 

Which is why I am building buffer in each of the properties for the repairs and capex.

Real Estate investors need some sort of liquidity buffer before being able to invest seriously.

But with a decent savings account buffer, I remain nervously excited for the future.I did not see this coming.

Finally while we all love the Great Warren Buffett’s advice, there are few very unique things he does that many small investors don’t. 1) Buffet keeps a massive amount of cash as a buffer.