One eviction in Seattle would probably cost two years of that fund in lost rent and eviction costs. A roof is probably more than $10k today, and up there the life is around 15 years for asphalt shingles because of the climate. Carpet and paint depend on the square footage, but are probably going to cost at least $5,000 every 7 years. Kitchen appliances generally have 8 to 10 year lives because tenants are harder on them. In that price range, you can't buy the cheapest stuff in the marketplace, so $2,500 every 8 to 10 years. Water heaters seem to go at 10 years these days. The furnace lasts 20 years, that's the good news.
Don't get me wrong, I'm all for buying and operating rentals, which I have done for almost 20 years. But I'm for being realistic, not wildly optimistic. The OP is not selling now because she's hoping for appreciation. The market is cyclical and at some point it's going to (gasp) go down. She and her husband need to balance anemic cash flow against the risk of a downturn. Are they going to be as satisfied with this investment if it goes back to or below the $465k they paid? Are they willing to wait 5 or 10 years until the market recovers to sell?