Doesn't matter that the expenses are there,  they were going to pay for them on their own,  now they have a bit of help from the tenants. 

To simplify things, I like think of repositioning MF properties as just flipping “bigger homes”, but I know it’s a different animal completely, especially the part of managing the income/expense game with inherited tenants.

As I continue to analyze properties, it seems that the expenses are eating up a large portion of the cashflow, especially when utilities aren't separated. 

If he doesn't, I would recommend having a separate hvac inspector look it over because that can run into a big expense in a hurry.  

@Alison S - yeah, travel expenses can just be expensed like anything else.

Resident shall be responsible for maintaining the cleanliness of the apartment and keeping the apartment pest free: however, Lessor may assist in arranging pest control treatments at the Resident’s expense.

The reason we didn't start with our property management company from the get go was that they were slow to respond to questions, and seemed like they would be a bit expensive on the repairs.

Price 175000 Gross rent 26100 Insurance  3156 Taxes 2535.96 CapEx + Maint (10%) 2610 Vacantcy (5%) 1305 Utils 6300 Mgmt 1827 Yearly Expenses 17733.96 Yearly Net 8366.04 CoC Return (no debt) 0.0478059428571429 Debt service 11700 CoC + Debt -0.095256 Rent per door -92.61

Say current mortgage is 1200 a month I would offer lessor something like 500 a month, which would leave me 2000-2100 in fully occupied rent less expenses.

We upload all of our call lists on there and it saves us a ton of time.Accounting- For a simple tool you can use taxbot or realtyzam... they have mobile apps that help you keep track of mileage and expenses.