Whats the typical calculation for rental propety ?

[N/A N/A]

Hi,

When talking about expenses for rental property, is it typically half of your gross rents are your expenses ?

Thanks

[J Scott]

Originally posted by Jonathan_H:

Should I just go with 10% of the rental income for Maintenance?
More? Less?

Over the long term, that seems about right. Over a shorter period of time, it's going to be highly dependent on the condition of the property.

For example, before I rent a property for the first time, I'll do a basic remodel and ensure that everything is working. I expect $0 in maintenance costs for the first year or two.

But, if I didn't do that remodel prior to renting, the first tenant may find lots of deferred maintenance issues, and the first year of maintenance expenses could be 25% or more...