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Posted about 9 years ago

01.30.15 - 2014 by the Numbers

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2014 was our roughest rentals year yet. It looked like one of our units would be negative cash flow. We had 8 move outs, most of them ugly. It felt like things would never let up.

With the year complete and work on income taxes beginning, thought it might be interesting to reflect on some of the rental numbers.

The duplex we feared would be negative actually did turn a profit – an average of $27/door/month. Our best property cash flowed an average of $338/door/month and all the properties aggregated averaged $171/door/month.

We spent $5,600 on capital improvements for replacing flooring and appliances. Our maintenance cost was 5% of rent. Our deadbeat ex-tenants owe us $8,000 in missed rent and damage for 2014. The average cost per move out was $770. Our pre-tax CAP rate averaged 9.4, but our goal is 10 after tax. Taxes hit us hard.

Even with all the turn over, we had less empty days in 2014, at 88 days or 97% occupancy. Rents were pretty flat. The zestimates on Zillow have made a nice recovery, and properties in the area seem to be selling better.



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