What are the typical expenses associated to a 2-4 unit property in Norman, OK? How much is typical monthly landscaping, insurance,HOA fees (if any), etc?
Do tenants usually pay for their own utilities there in Norman, OK (assuming units on property are separately metered)?
In Norman, how much should be allocated to repairs, capex, and vacancies on a monthly basis?
I'm interested in this as well. @Jason Ma I see you posted this 6mo ago. Did you have any success finding the answer to your question?
Hey @Jason Nashert & @Daniel Luke!
In Norman, there is such a variety of small multifamily that the short answer is, it depends.
You can expect on a duplex that cost about $130,000, that the insurance would be between $1,200 - $1,800.
Landscaping also ranges quite a bit, on one of my SFRs I've had quotes from $45-90 per lawn cut. Just depends who you decide to go with and how often. Most the time, on any single-level multifamily where the tenant has there own yard space, the tenant is in charge of the lawn upkeep. Shared spaces here are maintained typically by management.
You can escape HOAs mostly in norman, I have yet to buy in one yet, but my estimate from looking on the MLS is tentatively between $100-150 per month.
If the units are separately metered then here in Norman, it is expected that the tenant covers all utilities. Although you will run into a lot of units in which everything but the water is separate, so for those units, you might have to get creative with how to charge back water usage.
Repairs and capex also are an "it depends" answer. If you are looking at the older university district and central norman multifamily then you might have to add 5-10% in both categories compared to newer/renovated multifamily in the area.
Norman has a pretty low vacancy rate if you are marketing right and pre-leasing units early. Starting out I have been using 10% in my calculations due to the about equal presence of families and college students in my area. (I estimate 16% or two months for student housing and 5% for families).
Hope I was able to somewhat answer your questions, and if any other investors are using different numbers here in Norman, I would love to hear their input!
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