Repair % and capX % how to determine

[Anthony Harmon]

What is a good way to determine how much I should allocate from monthly income to the repair fund and capX fund in terms of a good percentage? This oils be on a rental in Flint MI. Thanks Anthony

[Chris T.]

@Anthony Harmon

It depends on your property, what kind of neighborhood and what kind of tenants do you have. 

if you thoroughly rehab all the major components of the house, you should be good with CAPEX for a while

How to Estimate Future CapEx Expenses on a Rental Property

If it's in a class C/D neighborhood, your repair % is probably going to be high. If you have multiple tenants instead of a couple, it will probably be higher. Pets will probably create more damage. 

I usually allocated 10% each to CAPEX and REPAIRS for my own.