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Updated over 4 years ago, 05/17/2020
My experience with Memphis invest - $3900 repair tenant turnover
My experience with Memphis invest has been great until my first tenants broke the lease, and left with $3900 repair cost. What separate Memphis invest from other turnkey providers is their excellent customer service. They keep very good communication with their clients, this is particularly important for the out of state investors.
My rental is 3bed/2bath ~1300 sqft; tenants stay for 1yr 5mo with pets. My questions are
[1] what is the normal/average cost between tenants turnover in Memphis
[2] with $3900 expense, which is equal 25% of the rent collected per month. This wipe out my profit for 1yr 5mo. I was educated to budget 10% on CapEx and 5% on maintenance. This is apparently beyond the budget. How does this real estate passive income model work for everyone?
[3] how to prevent it from happening? any suggestions?
I appreciate any suggestion. Thank you!
Here is repair cost breakdown:
exterior, $300
Interior, $1200
living room, kitchen, each bedroom and bathroom has their own specific repair, total $500,
replace carpet, $1100
pest control, $175
yard, HVAC inspection, cleaning, $660