We also do a few other things on move-in day.... we put drop cloth runners down in the traffic areas, loan the tenants the use of moving blankets, furniture sliders, an appliance dolly, and shoe covers. 

Either negotiate a good price or only pick upgrades that's necessary in the rough phase and do the upgrades with your own subcontractor/vendors after the house closes (kitchen upgrades, appliances, countertop upgrades, flooring upgrades, landscaping upgrades you can get them much cheaper without going through the builder).New construction is a winner if all things are the same. 

You basically add it to the cost of buying your property and then slowly depreciate.Some parts of your rehab, such as appliances, carpets or driveway/parking can be written off immediately instead of being slowly depreciated.

Focus on upgrading countertops, cabinets, and appliances.

I guess I was thinking the cost would just be 10% regardless of property, but it sounds like you’re saying you actually have to save an even higher percentage if the property rents for less because the amount wouldn’t cover the appliances or other cap ex expenses.  

Hello I just rented out a duplex and in the lease I have this clause : Appliances: The appliances have been supplied in complete working order.

Think of these as savings for big-ticket items like new flooring, new appliances, or a roof or siding replacement.Because maintenance and capex can be “lumpy,” you may think that you’re generating more cash flow than you really are.

I have never had to do a full gut on a home yet, mainly just flooring, paint, appliances, and interior work.

Double lease or renting appliances or promissory notes or what?

They were older appliances so I’ll give them the benefit of the doubt but again, no other issues with other tenants.