What Values Do You Put In When Analyzing Rental Properties?

[Kyle Dube]

Hi everyone. When analyzing a buy and hold style rental property, where do you find the certain the information you use to make these calculations. Specifically, I am confused about closing cost %, rehab/renovation costs, property taxes, total insurance, monthly repair & maintenance cost, CapEx and utilities. I understand the basic principles of how to obtain these, but for some reason whenever I calculate values it seems to be that they are extremely off. Please let me know if I am doing something wrong here!

[Nicholas L.]

@Kyle Dube

these are all very different

closing cost estimates could come from a lender - they can send you a mock-up with estimates for everything

renovation costs are tougher to estimate as a beginner and will depend on what the property needs

property taxes can be looked up in the associated taxing jurisdictions

insurance could be quoted by an insurance broker

repairs - will depend on age of property and location

CapEx - will depend on the age of the big ticket items like roof, HVAC, etc. and how much those cost in a specific market to replace

utilities - will depend on who pays what (owner vs. renter), location, and how much is used each month

when you say they're "off" what do you mean?