(So therefore we wouldn’t have to pass on the cost of the repair to him ie. the tenant).Now, several months later, I contacted the contractor to ask if he would be to provide a price estimate for a different job at our house.

-What about repairs, capex, vacancy? 

After repair value is $100k-$170k (based on comps in the neighborhood, the range is large since the layout is a bit weird where the primary bathroom is in a bedroom). 

Build a local team for cleaning and repairs to streamline operations.

Just recently got hit with a 10K sewer line repair.

I recommend you budget 5% of the gross rent (for the whole place, even what the rent would be if you were living in it as a tenant) for repairs and 5% for capital expenditures.

While they often require some level of repair or renovation, the potential for significant returns makes them an attractive option for many investors.Why Invest in Distressed Properties in Phoenix?

That is one of the reasons we have set in place notifications for any estimate of repairs exceeding $500 of which these repairs were 10 times that amount in total.

I’d recommend something like the tenant is responsible for the first $500, $750, or whatever in repairs for each occurrence.

I would also send the insurance company this same letter and tell them they are going to be responsible for the cleaning and repair cost.