Minneapolis/Twin Cities Expense Estimate

[Jake Hartnett]

I have been reworking my Maintenance and Repair and my CapX numbers a couple different ways and I keep getting approximately the same numbers.

My typical unit I am looking at is a 1000 sf 2/1 duplex or 4-plex with hardwood floors in a C neighborhood built in 1890-1970, yes, quite a range.

I added up big ticket items like roof, water heater, new kitchen, etc and divided by life expectancy and came to $1000/unit/year, so I'm assuming $1200/unit/year with a buffer. I am also adding $300/unit/year for maintenance and repairs. This comes out to about 10% of rents assuming a $1200/month/unit.

Am I in the ballpark?

What numbers are you using?