I am having trouble with cash flow. I am looking at a fourplex here in Arizona. The units are renting for $650 each. I have used worst case situations with my cash flow chart. I am using current taxes which will go down. I pay water, sewer and trash. I have the insurance in, maintenace in, miscellaneous of $3000 in, pest control, management fees of 10%, vacancy rate of 10% and my total expenses are $17,000. My net operating income is $11,112. The total debt service is $4,050 which leaves a positive cash flow of $7062. That is a positive cash flow of $588.50 per month. My question is...what is wrong with this picture? I have not made an offer yet and it has been sitting on the MLS for 119 days and they just dropped the price $5,000! What am I waiting for?