Your vacancy is probably fine, your repairs and Capex are probably dramatically too low, but this also appears to be a condo, so most of your Capex may be handled in the HOA. Otherwise I would budget 10% for each, minimum.
Have you called your lender to get a real quote on a mortgage? Less than 20% down typically entails PMI, which does not seem to accounted for.
Have you called an insurance agent for a quote? $5/mo is too low. $100/mo is more average, but call an agent to get a quote.
Have you calculated real estate taxes for this property at your purchase price? In Hamilton county, OH your number is very low, but you can pull this online with a little research.
Your vacancy is probably fine, your repairs and Capex are probably dramatically too low, but this also appears to be a condo, so most of your Capex may be handled in the HOA. Otherwise I would budget 10% for each, minimum.
Have you called your lender to get a real quote on a mortgage? Less than 20% down typically entails PMI, which does not seem to accounted for.
Have you called an insurance agent for a quote? $5/mo is too low. $100/mo is more average, but call an agent to get a quote.
Have you calculated real estate taxes for this property at your purchase price? In Hamilton county, OH your number is very low, but you can pull this online with a little research.
Rental Property Investor · Member since 2021 · 38 posts · 19 votes
5y
I would agree with Evan, your insurance, Capex and maintenence seem low. Haven't had to deal with hoa's so I can't say what Capex and maintenence should be there. But very confident insurance won't be $60 per year. 10% COCroi looks good, but numbers may be skewed to get there. IMHO
Your vacancy is probably fine, your repairs and Capex are probably dramatically too low, but this also appears to be a condo, so most of your Capex may be handled in the HOA. Otherwise I would budget 10% for each, minimum.
Have you called your lender to get a real quote on a mortgage? Less than 20% down typically entails PMI, which does not seem to accounted for.
Have you called an insurance agent for a quote? $5/mo is too low. $100/mo is more average, but call an agent to get a quote.
Have you calculated real estate taxes for this property at your purchase price? In Hamilton county, OH your number is very low, but you can pull this online with a little research.
I second [or third] the points here.
Plug in your mortgage insurance premium (MIP) for your down payment and add your PMI to your monthly expenses at the very least. Those will affect your CoC the most, but you will want to adjust your vacancy and insurance as well.
Chicago, IL · Member since 2017 · 7 posts · 0 votes
5y
Thank you all. For clarification, this was my condo. I purchased in June, and I moved out and put a tenant in there in December when I was let go from W2 job. My mortgage is about 975 on a 30yr conventional @3.5% - including tax and pmi, and I pay 1000 to put a little extra toward principal. It had new carpet installed throughout when I purchased it, and is in great shape otherwise. Capex in thinking would be kitchen and bathrooms upgrades in the future. The tenant is a trustworthy, retirement-eligible nurse originally from the area.