If it’s truly a deal You should be able to calculate it on the back of a napkin 

The P&L I received from the owner could have been written on a napkin and glosses over repairs made to the water/sewage line--the current owner says "costs varied" because he was able to do a lot of the repair work himself. 

I only said they hit the "rules of this forum" as back of the napkin type calcs.

My back-of-napkin math so far seems to suggest that going for the bigger unit won't necessarily bring in a lot of extra rent, but could add a lot of value when I sell it, so I'd be absorbing a lot of extra taxes for the time I own the property.Any thoughts or insights would be appreciated,Michael

It has a large enough sf that it should pencil out (napkin math says its at least worth doing numbers on).

They are just quick & dirty ways of doing cocktail napkin math on properties. 50% rule - The costs to operate a rental property typically averages out to 50% of the gross rents on an annual basis.70% rule - When flipping houses you will probably make some pretty good money if you aim to make offers that allow you to buy the property for 70% of the ARV less the renovation costs.1% rule - If you get a property where the monthly rents are 1% of the purchase price.

Yes, you can buy property with a simple one-line contract written on a napkin.

In fact we have a 3-Day Developer's Academy that we conduct once a year, most recently this past summer 2018.Please feel free to PM me and I'll give you some quick insight as to a high-level approach (as in the 30,000 foot view) to what you realistically need to do to determine if it's feasible and how to do some financial forecasting on the "back of a napkin" to see if it makes sense to move forward.Please note that Developing a Self Storage Facility from the ground up can certainly be lucrative. 

Tenants are extremely hard on appliances, it is not uncommon.Landlord Responsibilities: Landlord will at all times during the tenancy keep the premises fit for human habitation, and shall in particular:a.Cultivate, care for and mow surrounding grass, lawn, flowers, and shrubberyb.Maintain the premises to substantially comply with any applicable code, statue, ordinance, or regulation governing the premisec.Maintain the roof, floors, walls, foundations, and all other structural components in reasonable good repair as to be usable and capable of resisting normal loadsd.Keep any shared or common areas reasonable clean, sanitary, and safe from defects increasing the hazards of fire or accidente.Provide a reasonable program for the control of infestation by insects, rodents, and other pests at move in f.Except where the condition is attributable to normal wear and tear, make repairs and arrangements necessary to put and keep the premises in as good condition as at move ing.Provide reasonably adequate locks and provide keys to the tenanth.Maintain all electrical, plumbing (main lines), heating, and other facilities and appliances supplied by Landlord in reasonably good working orderi.Maintain the unit in reasonably weather tight conditionj.Provide facilities adequate to supply heat and water and hot water as reasonably required by the tenant

Though the seller and I are working together to make a win-win we both are pressing for contracts that are done right (instead of on a napkin).