Kellie, get a little water under the bridge with your 4-plex, then decide if you want to go bigger. 

.$2,563 Insurance$3,016 Water/Gas/Electric$1,968 Trash$500 Snow and Lawn$2,400 Maintenance and repairs$26,951 Total Expenses$20,309 NOII offered $201,000 on the property and the seller has indicated $220,000 as his lowest acceptable price.

You didn't include sewer, water or trash in your calculations.  

Hopefully we'll get some el Nino rain this winter to relax the California water concerns.  

I use a wet finger, cup of water handy to dip the finger each time, and rag to clean the finger each time.

I work in CA as a land use/planning and site Civil Engineer (think roads, grading, sewer lines, water lines, curb and gutter, storm water drainage ect.) 

That will tell you what most would expect.When I bought a rental house earlier this year in a new area, the realtor/property manager told me that it wasn't expected for me to provide a refrigerator or stove much less washer/dryer, so you might be surprised what is the norm.Beyond your direct question, though, I think you need to reconsider your plan.  

If you post all of the following items here, I'll post an evaluation of hold vs sell from my perspective.TaxesSewer and Water (generally paid by tenant)Trash (generally paid/dealt with by tenant)Heat/Utilities (generally paid by tenant)HOA (probably not applicable)Cap Ex and Ops (my personal minimum is $150/roof/month)InsuranceMgmt Fee - as a % (general consensus here on BP is 10%. include it even if you think you are going to self manage)Vacancy- as a %. (8% represents 1 vacant month/unit/year)

@Jesse Waters  @John Thedford I really like the idea of including a large earnest deposit such as 10% or more but could you explain that further? 

@Starr Ango don't forget when you buy and hold you need a capital reserve to repair the roof, replace the hot water heater etc as things come up.