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Updated over 7 years ago,
What to look for in SFH
Im currently trying to put together a spread sheet of the SFH in my area for rent to get an idea of comparable houses for when I purchase my first. Below those are the SFH for sale in the same area so I can see everything together. Im just struggling to figure out the expenses on renting a SFH.
From my understanding, the tenants are usually responsible for utilities, so I dont need to worry about that. I have tax information for the houses so I can estimate on that, depending if it gets reassessed. However, I am struggling to find out the "expenses." I understand insurance needs to be paid, possibly property management (unless I manage myself, most likely), and maybe advertising to get a tenant. I read the blog post regarding NOI and cash flow and ROI, but I felt it was more geared towards a multiunit complex because it was helping to find a CapRate.
When calculating cash flow for a SFH, what do you tend to budget in before determining if a deal is worth looking at further or not?