CapEx estimation on a Condo

[Michael Narup]

Hi BP!

I am trying to evaluate how large CapEx should be when evaluating a property if the HOA includes the roof and siding. My rough rule of thumb has been 10% of rents for newer single families and 15% of rents for older single families. Also, I have heard some nightmare stories about special assessments on condos; are these more an exception than the rule? For reference, the condo I am looking at is basically one side of a duplex but it is in a community with fourplexes that are two stories. Thanks!