Roof, HVAC, sewer, etc.Has the property been poorly managed?

Sure enough the rehab ran over budget (we had a large contingency that was used up -- some due to contractor malfeasance, some due to pulling the trigger on big repairs like a new roof) and the revenues were right around expectations, maybe slightly below.  

Labor/material are going to be different and need to factor that in4) new roof, new HVAC, new water heater, ac panel, replacing plumbing to PVCThese are very variable, if you are getting this from a licensed guy to do it and unlicensed.. is it a big shop or a local shop doing it, is the GC doing it they will put some money on the top so it will be more money5) framing (creating new bedrooms or baths)I would get all these quoted from a good couple of licensed guys and unlicensed to know your numbers to cents

Do you save three months of vacancy for each unit and $50,000 for the roof replacement?

Building for the larger cabins went through the roof.

First you need to learn to separate the following:Maintenance: usually things related to wear & tear or tenant damage.Repairs: usually broken items like doors & windows, caused by tenant or nature.Capital Improvements: usually expensive things that wear out: hot water tanks, furnaces, roofs, etc.The seller is correct that Repairs & Capital Improvement items should not be a factor for awhile (ALWAYS get your own inspection to confirm).

Whether it is a single family home or a 4 plex, it is still one sewer line, one roof, one gardener bill, one tree trimming, etc. that cost the same no matter what.Best of luck!

I know I fund the deals and pay for the rehab . my clients put on brand new roofs  new panels all new wiring new plumbing windows siding cabinets etc etc..

Their charges for repairs have gone up the roof and they are not competitive at all.

For example, ask about typical costs for HVAC repairs, plumbing issues, or roof work.- Use Historical Data: If the seller has accurate financials, their expense data can be invaluable.