Condo Revenue Estimator-Vacancies and Repairs
I am looking to buy my first investment property and for this area (Surrounding DC area and Northern Virginia) the only thing I can afford is a 2bed/1ba condo or smaller. I am having issues estimating how much to put aside yearly for Vacancies and Cap Ex repairs.
Should I put a percentage of my rental income aside or should I pick a set amount? The reason I am having trouble with this is because when comparing condos, chances are they will have the same Cap Ex and Vacancy numbers even if one is more expensive than the other. If I use percentages, than that would change based on the selling price of the apartment.