@Clint Galliano, the reason that number varies (and most other number too - maintenance; capital expenditure; tax; utilities; insurance; property management...) is because every County has different demographics, which can highly affect the correct analysis between different properties.Sorry about the non-specific answer. 

You can still find deals in which you over pay for a property but your market cap is still 8% or higher even with expenditures on the inflated side.

Definitely legal costs in judicial states and trustee costs in trust states are added to the bottom line, they are a capital expenditure.

@Haider ZamanProperty Manager Job Purpose: Maintains property rentals by advertising and filling vacancies; negotiating and enforcing leases; maintaining and securing premises.Property Manager Job Duties:Establishes rental rate by surveying local rental rates; calculating overhead costs, depreciation, taxes, and profit goals.Attracts tenants by advertising vacancies; obtaining referrals from current tenants; explaining advantages of location and services; showing units.Contracts with tenants by negotiating leases; collecting security deposit.Accomplishes financial objectives by collecting rents; paying bills; forecasting requirements; preparing an annual budget; scheduling expenditures; analyzing variances; initiating corrective action.Maintains property by investigating and resolving tenant complaints; enforcing rules of occupancy; inspecting vacant units and completing repairs; planning renovations; contracting with landscaping and snow removal servicesMaintains building systems by contracting for maintenance services; supervising repairs.Secures property by contracting with security patrol service; installing and maintaining security devices; establishing and enforcing precautionary policies and procedures; responding to emergencies.Enforces occupancy policies and procedures by confronting violators.Prepares reports by collecting, analyzing, and summarizing data and trends.Updates job knowledge by participating in educational opportunities; reading professional publications; maintaining personal networks; participating in professional organizations.Accomplishes organization goals by accepting ownership for accomplishing new and different requests; exploring opportunities to add value to job accomplishments.

One more thing...I really enjoyed the fact that you guys took the time to mathematically equate my expenditures, gains (ROI).

I am just starting to develop a real estate portfolio and I would appreciate your advice with reference to tracking business expenditures.  

If you're purchasing at that price and expenditures with stable paying tenants it sure sounds nice, otherwise it can definitely be a headache concern without guaranteed rent subsidy.

It can be a significant expense in upstate New York winters -Landscaping including mowing and snow removal-capital expenditures - if you plan to buy and hold eventually you'll need to replace the roof, water heater, etc. best to put aside a little every month -property management - if you self manage this will just be part of your cash flow, but as you grow your business or if you hate managing you may need to outsource.

The idea is that you find yourself a 2-4 unit property, live in one of the units and let rents from the remaining units cover your expenses.Property expenses you would need to consider include P&I, Tax, Insurance, Heat, Electric, Water/Sewer, Trash, Maintenance/Repairs, Capital Expenditures and Vacancy. 

Your Money or Your Life looks at money from the opposite side of BP, reducing expenditures holistically.