All Forum Posts by: Patrick Williams

Run them through other investors and try to shop the deal. Tell them you want to pass the deal to them and see what they say 

For the charging for rent part , rentometer is pretty good, so Is a new app I came across called rent cast. 

I do agree with Karl. I usually put 5% of the gross income for maintenance if the property is relatively new and around 15% for older properties. Use the internet to look up rentals in the area for similar homes and make a sensible judgement based on that. You may also use bigger pockets tools to get some idea what the rent should be. As for vacancies, make sure you have a few months of mortgage put away. You may also choose to put aside a percentage of the income until you have six months of mortgage put away.

Hey @Patrick Williams - congrats on trying to lock in your first investment! Exciting times!

I think @Karl McGarvey gave some great advice in terms of the money to put to the side. 

Have your run any of your numbers using the calculators provided by BP? I would make sure you use a solid calculator that can calculate variables beyond just expenses. Factoring in the market rents, taxes, insurance and other expenses will be key in giving you a full-picture. Your first deal won’t be perfect. A lot of learning will come strictly from experience. So be careful not to get yourself into analysis paralysis. 

If you have any questions or want to talk more, feel free to reach out to me. :) 

The amount I factor in depends on the property. If a property has brand new A/C and Roof I plan for less CapEx, but if its an older property I wont hesitate to set aside 10-15% for repairs/Capex in my ProForma. Keep in mind while you are accounting for these numbers, you are still getting paid that money and putting it in the bank.