Utilities included in the rent
So I have been looking at a 6-plex for purchase. It has 5 of the 6 units rented. Couple of questions, do i include the empty unit's rent in the GIS calculation? How do i address the heat & water included in the rent in my calculation?
Total annual income $51.6k (5 units rented, current state of the property)
subtract : Taxes ($5842), Heat ($4052), water ($1755), insurance (1808), Trash ($870), maint (2100), lead insp (450), vacancy (10%, $5100). total 21,977
NOI = 29.6k I need to get the multiplier, but assuming 10% you have a value of 296,000. They are asking 439k
Am i way off base?