All Forum Posts by: Evelin Montenegro

Thank you @J Zev J.! 

Hi everyone, I’m under contract for my first investment property and my mind is racing with everything that I need to get done. One of the items I’m specifically focused on is accounting. I plan to hire a property management company, but I’m not sure if I should have my own separate accounting software to track expenses to make it easier at tax time. 

Any feedback would be greatly appreciated! Thanks! 

Instead of doing an 8% vacancy loss every month, does anyone just keep a total reserves amount?

For example: Say your mortgage payment is $400 monthly so 6 months worth of rent is $2,400 and another $12,600 for CapEx repairs for a total of $15k and just place that into a savings account until needed.

I’m assuming there’s no issues with that, but no one really discusses that, all spreadsheets calculate a vacancy loss rate.

@Karl B. Hi Karl, did you grow your team of tradesmen through a reference like your realtor?

@John Warren I was definitely thinking on a small scale, especially since income is essential right now to build up the reserves.

Thank you for the feedback.

Just wondering, does anyone invest out of state but not have a property management company? Maybe they have a handyman to handle any maintenance and use an app like Cozy for renters to submit maintenance and collect rent?

Anyone??

Hey BP,

I’ve been analyzing deals in the Columbus, OH area and I’m trying to determine if I’m underestimating.

Here goes:

5% - Vacancy

5% - Cap Ex

5% - Repairs

$50/month - Insurance

10% - PM

3k - Closing costs

Thank you in advance for the help!

@Shiloh Lundahl I suggest you read the book called The Millionaire Next Door.