A lot of lenders used to apply 35% for expenses, but in the last several years, the numbers for supplies, labor, utilities, taxes, etc… have increased significantly.Also take into account the age, occupancy and how has the property been maintained, this will affect the expenses too

It sets you up for a more focused, confident, and sustainable start.

I would also try to minimize expenses through decreasing cleaning costs, installing smart tech like a thermostat to control utility costs, etc.5.

Hope this helps...https://www.starkhelpcentral.com/rent-utilities-assistance

Not to be a downer, but I'm not clear how I would utilize this metric to manage my properties. 

I too live in Marin, and feel it is a solid long term market for apprecaition, and utilizing the power of principle reduction.When it comes to refinancing, figure out what the loan costs will be, then divide that buy the monthly savings with the new loan in order to determine how long you have to maintain that loan to break even. 

Best of luck on your continued journey, HELOCS can be a great tool to utilize untapped equity in a house.

Or find a property that is under-utilized or has below market rents.Otherwise, you could also do the OPPOSITE of the great advice from @Jonathan Greene and buy a property with multi-bed units or live in the larger unit and rent out the smaller unit - while getting a roommate(s).

That's just the max they will pay for rent plus utilities.

Thanks The income approach is generally utilized for 5+ units.