Like the push to get tiny houses accepted and zoning changed,   a "cleanly well run rooming house" business model has yet to get much muninicipal acceptance tracktion.  

So if you want to handle the extra work, like cleaning, repairs and all of the calls and texts, then go for it.

We do nice kitchens and stainless appliances, have cleaning service, pest control, landscaping and address any maintenance issues immediately. 

Direct expenses are expenses directly attributable to the rental units (ex: rental unit repairs/cleaning, advertising, rental adm exp, etc)

Over the last (3) years I have seen some extreme cases of expedited equity where an investor buys an older home or "Ugly Inventory" and then bats clean up on the ARV in 12 months.To give you an example I helped an investor refinance her home in 2023 pull cash out to buy a $65K home all cash.

What are the cleaning and management costs? 

Since you mentioned a construction site injury in your initial post, the best way to proactively avoid premises liability claims is by keeping a clean worksite.

Note: Our initial goals are to wholesale to build immediate working capital (targeting $150k) and hold for cash-flow to build 10k/mo FCF (free cash-flow).We have made some cash buyer connections, identified and underwritten potential deals on hundreds of current deals, and developed professional relationships in our target community (cleaning, construction, governmental). 

All your accountant cares about is seeing a clean profit and loss statement.

Most of the time is spent answering guest inquiries, scheduling cleanings, and handling the occasional issue that pops up.