Houston MF - expenses

[Alexander Tesfamicael]

Hi BP community - 

I'm looking to purchase a triplex or fourplex in the Houston area and would love to get feedback on the expenses that I'm estimating (too high, too low, any that I'm missing, etc.). Thank you in advance!

Expenses:

1. Property Taxes - 2.89% of home value

2. Homeowner's insurance - 1.3% of home value

3. Ongoing repairs - 12-15% of rental income, based on how recent major CapEx items have been replaced

4. Flood insurance (if applicable) - $592/year

5. Vacancy - 8% of rental income

6. HOA Fees (if applicable)

7. Property Management Fee - 7-10%