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Updated over 2 years ago on . Most recent reply

Aldrin Meneses Quijada's profile image
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Aldrin Meneses Quijada
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Aldrin Meneses Quijada
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Real Estate News & Current Events

VACANCY RATE question

Aldrin Meneses Quijada
Posted

Good day! I would like to ask how much percentage should we save for vacancy rate incase if there is vacant on a single family unit. thank you and have a good day to all!

Huntsville, Alabama
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Tyler Fontaine
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Quote from @Aldrin Meneses Quijada:

Good day! I would like to ask how much percentage should we save for vacancy rate incase if there is vacant on a single family unit. thank you and have a good day to all!

I would run numbers on allocating for a minimum of ones months on an asset like that. As long as you can cover it and get the cashflow you need accounting for 7% CapEx, 7-10% Property Management, and then 5-8% for repairs you will be in good shape.

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