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Updated about 9 years ago,
How Much to Estimate Maintenance on Rental Property - Los Angeles
I've started trying to value multifamily deals, but having some difficulty knowing what is reasonable to estimate for maintenance (i.e. repairs and capital expenses).
Does anyone in the LA area have a general "rule of thumb" for estimating maintenance costs, at least for the initial evaluation stage? Is there a certain percentage of the rent? Flat dollar value per door?
I would like to have a conservative estimate, but want to avoid being so conservative that I make every deal look like a loser. Any advice is greatly appreciated.