50% rule ? True or False?
I’m reading the posts on this website discussing the 50% rule. We own few Class C Apartments Complexes, anywhere between 36 to 100 units. My management Company manages around 2,500 units. I have to say that based on our experience and if you factor all expenses into your spreadsheet you will most likely end up at the 65-70% operating expenses over time. Sometimes even more. Unless you go into a Class B+ or A or 160 units and above maybe, achieving 50% is difficult on Class C unless of course you manage your own building and decide to move over and live in the property….thoughts?