The deductibility of an expense/capital improvement is not dependent on entity structure - you will be able to deduct all ordinary and necessary business expenses (or capitalize and depreciate capital expenditures) against rental income even if the property is not in an LLC.

Having a reserve for unforeseen costs, vacant spaces, and maintenance expenditures is essential.Take into account the state of the local rental market both now and in the future.

If a property is a little more run down, it probably will need some expenditures up front. 

@Thad Gerber, It would be an expense and fall under "capital expenditures" for your property's P&L.

Because cap rates do not take into account capital expenditures and property condition.

With a total expenditure of nearly $2.4 million, Alden's venture purchased unpaid taxes on over 600 properties during Cook County's annual auction.https://bnnbreaking.com/finance-nav/alden-global-capital-div...

Include market statistics, building timeframes, rental revenue projections, and your overall property plan.Provide precise financial predictions, including expected rental income, operational expenditures, and cash flow.

Thank you, but one more question I was wondering what capital expenditures include and how it is separate from maintenance repairsthanks again

Increased down payment amounts can lead to decreased monthly expenditures and even positive cash flow, particularly if the majority of the mortgage payment is covered by rental revenue from the other property or units.Market circumstances: Assess the Dallas/Fort Worth area's real estate market circumstances as of right now.

NOI is a before-tax figure, appearing on a property's income and cash flow statement, that excludes principal and interest payments on loans, capital expenditures, depreciation, and amortization.Maybe just ignore advice from people that don’t have access to Google.