We are now about $270K in Principal, and believe the house could be sold for $350-$360K. 

@Greg Gibson , I'm a conservative investor, so what I would do may or may not be what's best for you.Personally I would diversify to protect in a downturn, rather than trying to maximize potential projected yield outside of one, since a conservative investor believes that protection of principal leads to better long-term returns.

Things to consider:- Market Rent for the Area of Houston- Trying to aim for at least 1% (i.e if the house is worth 100k you want to try to get $1k monthly in rent)- Principal, Interest, Taxes and Insurance (do you need flood insurance or wind insurance for being close to the coast in your area)- Budgeting for CapEx, OpEx, Property ManagementIf you’re looking for killer cash flow in Houston, you have to make your own deals or invest in the not so pretty neighborhoods.

Conversely someone worth 5 million making 500k a year might want to own a NNN property or retail strip center that throws off 7% cash on cash and double digits after principal paydown on the mortgage.

Unfortunately it has negative cash flow that I am being fed up with, although some of the money is going into principal.Purchase P: $205,000Rent: $1550 - $1600Loan Balance: $120,000Interest rate: 3.25%Matures in : 10 yearsInsurance: $20/monthProp Tax: $330/monthCondo Association Fees:  $445/monthNegative Cash Flow: ~ $430/month not counting vacancies/realtor commission to find new tenants/repairs etc.I have about $800 going to principal and the load will mature in about 10 years.

@Riaz MohamedRent to own is borrower is renting property and typically a portion of the payments goes towards the principal / purchase priceLease purchase is the person leases the property and has an option to purchase the property at a certain price within a certain timeframe where payments Typically DO NOT go towards paying down the purchase priceIf they do not exercise the option it’s just a regular leaseContract for deed is when they receive title after making payments per the agreement.

If we get the loan paid down to the point where we're paying more in principal and less on interest we could have the house paid off sooner and make complete profit other than utilities on it.

If your building won’t support that then you need contribute additional capital to buy down your principal until it works.

I check the SEC, FINRA, ratings websites for inside information on the principals in the company.

Seems like an unbeatable strategy so long as you have enough for an initial principal.