Now the minimum standards your basement has to hit for it to be able to count as assessed sqft not estimated is a height of 7 ft, a point of egress (bilco doors) and a window usually in the rear, It's one of those things where if your going to go through the process of digging out a basement you might as well go for it and dig it deeper then 7 and closer to 8 ft so you actually stand out compared to the competition.Now the other side of this coin which I would suggest is if you're willing to spend 40-50k on a basement dig, consider adding a 3rd story addition if your a 2 story (think master suite, walk in closet, master bath) or an addition off the back and add a roof deck if your a 3 story (either master suite or just additional bedroom).

For a total gross rental income of $3,300.PITI will total $1,364$561 for 5% maintenance, 5% CapEx and 7% vacancy allowance (HomeRoom gives 10% vacancy as a general estimate but my property is the best location of all the Indy properties, close to downtown and UIPUI campus, and discounted compared to room rates at other houses so I don't expect 10% vacancy) The house just underwent a complete top to bottom gut reno with new everything including roof, sewer, electrical, appliances, etc, so I'm budgeting low for CapEx.$495 for 15% property management.That puts total expenses at $2,420, out of GRI of $3,300, for a monthly cashflow of $880 (11.7% CashROI).This also leaves plenty of room for future rent increases.

Do your own roofing. 

Any other possitive factors  - stable tenant base  - alarm systems  - regular checks on the property  - no pets  - Lead safe certification  - newer roof, plumbing, electric, etc..Anything to balance off the lossesBe prepared that it may end up in a non-standard (surplus lines) market for a couple of years.If you did not have flood coverage before, see if they will continue the current policy if you get Flood coverage and increase the property coverage deductible. 

Capital expenses (a new roof, HVAC, etc), maintenance (clogged drain, water leak, etc), and for vacancy. 

The roofs were updated in 2021.All units are currently occupied on month-to-month leases, with three tenants paying $1,425 per month and one tenant paying $1,300 for handling lawn care and maintenance.

Plumbing, roofs, HVAC, hardscape are expensive.  

After that my contractor will be taking a look at the foundation and roof for me before i place any deposit.

Hi there, I am running a business with property management, construction and investor focused agents all working under one roof. 

Roofs are $10-15,000 for a typical duplex where I live.