Cook County Estimates
Hello all!
I am still working on my first dealt here, and I wanted to ask you all for a 3 or 4 unit building:
How much is average for electric and heat? (common areas/the costs I pay)
How much is average for insurance?
How much is average for Water sewer garbage?
How much is average for Vacancy, Capex?
How much for vacancy? (%)
For more specific location info, I am looking in near chicago south western suburbs, brookfield, riverside, berywn, lyons, as well as maybe northern chicago suburbs such as evanston (not as much focusing on northern yet though).
I have been using numbers I found online already through research as well as asking in person at house tours, however I wanted the BP communities take on it as well. Thank you for any and all responses! :)
- Property Manager
- Roselle, IL (Chicago Suburb)
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Afternoon, these are numbers that can vary based on the size, age, and type of tenants.
Insurance - Age, subsidized tenants or not, coverage, all play a role. Our properties range from $500-$550 but we have a large deductible.
Water - Every city is different and some a flat fees and some meter but we budget $600.00 per year per unit.
Common Area utilities - This ranges based on what the utilities are used for. We have some halls that have heaters on the common meter, H2 heaters for washers, or gas for common area dryers, or extra lighting. Without providing heater to common area or w&d on these meters you should not be more then $50.00 per month for common area electric and you should have no common area gas.
Vacancy -Banks like to see 8% but a range from 8-10% is good.
Garbage - Some communities bill this separate or combine it with water.
Cost that people forget are snow & ice maintenance, village license and inspection costs, accounting, and annual preventative maintenance.
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Property Manager IL (#471.003954)
- GC Realty & Development LLC
- Podcast Guest on Show #72
Thank you for the reply!
One thing stood out for me, insurance you'd mentioned is 500-550. Is that per month?
I'd contacted an insurance agency about a few properties in my target area and they'd given me quotes right around the 100 a month mark. Should I be way re-thinking that?
Thank you for the details on common areas I'll need to evaluate those specifics on each property then. As well as the specifics on the rest and the extra costs to think about.
