Yes, your lease will state that you can go after the tenant for excess damage.

In addition to what Ned mentioned, you will also have advertising, entity maintenance, legal fees, evictions, court costs, periods of high vacancy, damage done by tenants (in excess of the security deposit), lawsuits, utilities (at least during vacancies), etc, etc, etc.

For example, significant damage done by tenants in excess of the security deposit (often thousands of dollars), is an expense that may only occur once in a many years.

I don't know if you're a buy and hold or flipper, but if you're buy and hold I can tell you that last time (in Houston) the big decline in rents TRAILED the decline in prices by a few years.Those rents STAYED DOWN as a lot of the excess inventory was snapped up by BUY AND HOLD investors who then NEEDED to keep those units rented.

If I feel that it is too excessive such as working with new people, open houses, I typically have a double blade push knife on me.

So attending is possible for free, riding on the coat tales of someone else that has paid in excess of 16 grand, AND there is NO PRESSURE, NO UPSELLING, NO OBLIGATION.

Look for signs of moisture from above- peeling or cracking ceiling paint (or worse!)

This way, the tenants become much more invested in maintaining the property and believe they got a great deal on the place making them much more likely to stay long term.† If you hire professional property management make sure you pay based on percentage of rents collected so you don’t incur excess expenses on vacancies.If you have multiple back up exit strategies you can go forward with confidence on any deals.† Just make sure you increase the spread you normally work with to give yourself the most options.

That includes taxes, insurance, vacancies, advertising, utilities paid by the owner, management, maintenance, entity maintenance, legal fees, evictions, damage done by the tenants in excess of the security deposit, capital expenses, lawsuits, etc, etc, etc.

While this is considered by most to be a good return it is very easy to earn in excess of 100% annually.Read the article and if you have any questions look my number up on my profile and give me a call.BriceInvestor/Agent