It is also evident that you left out many of the operating expenses, such as management (even if you do it yourself), utilities (even if only during vacancies), office supplies, legal fees, evictions, damage done by tenants in excess of the security deposit, entity maintenance, lawsuits, capital expenses (not technically an operating expense), etc, etc, etc.You might want to read one of the 50% Rule sticky threads in the General and Landlording topic areas.Good Luck,Mike

-make sure all your a/c vents are propery sealed. this helps reduce drafts, moisture, dust, pollen, and noise.

The short and simple is refinancing a property and taking the excess cash out from the loan. 

For my first deal, I went to a credit union and asked for a 10k unsecured loan, I borrowed against a 401k, and used excess student loan money to fund the rest.

For example, if you end up having excess losses that carry forward from year to year, and then you sell one of the properties - then the allocation of overhead expenses will matter.That said, if you want to simplify your bookkeeping - stick with #1, even distribution.

Remove the source of moisture and you’ll remove the mold, simple as that.

Most of the excess in the numbers comes from wanting to 'err on the side of caution' since this deal looked really-really good. 

Of course the property taxes would be excessive and would render rental calculations infeasible! 

The moisture could have been coming from a few different things so I opened up the ceiling and it was condensation on the hvac pipe.

He said I would not need more than this since my net worth is less than $1M, however, I am having him look at quotes for an excess liability umbrella policy for these as well.