The Cap Ex costs are derived from the number of systems and physical items that will require maintenance over the years.  

MAO WorksheetProperty Address:ARV:*Costs (30%):Repairs:MAO:Starting MAO (-15%):Formula: ARV – 30% – Repairs = MAO Terms:ARV – After Repair Value.This number is derived from Comps, CMA’s, and other appraisal tools.Costs – These are the costs to get into (and sometimes out of) the property.The table below depicts the cost breakdown.Costs are as follows:Buying Costs(3%)Carrying Costs(3%)Closing Costs(3%)Margin Of Error (1%)Equity Or Profit (20%)Repairs – These are the estimated repairs.Use the supplied Rehab Worksheet to get your initial estimate.

Most issues ,I believe derive from negligence on either the resident or the owner's part.  

@David Krulac   David that is correct if you live in CA and derive income from other areas you pay CA tax's just like me in Oregon .

derived from their data mining.

NOI is derived from reducing ALL operating expenses from the gross income.

And if you are self employed or derive your income from investments, that brings in a whole new set of fun variables.

The tax applies to the percentage of income derived from the non-IRA funds used to grow the IRA.  

Other than the bank doesn't normally request that alone, it is also important to note that the numbers used in an income approach are often derived from the sales comparison comps, or other sold comps.The income approach section of a duplex appraisal form relies on the Gross Rent Multiplier.

I’m not saying small multi’s don’t make sense in other areas, and I’ll readily admit that a lot of my criticisms are derived from my own, personal values/priorities that may be different from others.