On average, most investors allocate about 10% of their operating income to capital expenditures.

GET PAID AT CLOSING FOR SERVICES RENDERED.If a company mentions they need a deposit for allocation of money have YOUR ATTORNEY you trust hold the money in an account and provide a statement to the lender the money is earmarked and sitting there.

You could do a partial conversion on a single property, but then tracking and allocating the value as well as share of expenses and income of tax-deferred vs Roth for that property becomes a bit complex.

Allocate it among the existing properties?  

You would have to be allocating all expenses between the two sub-properties, and it's a hassle.

BP, I have an interesting question regarding ownership percentage vs. profit allocation percentage within an LLC.

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In a perfect world, you should be allocating some cash for repairs/maintenance/vacancies and capex in order not to have any surprises when something breaks.

I don't know if it's true or how it works but I have heard that the partnership agreement can specify the allocation of depreciation and this is done with some syndications.

I do have the money to purchase the home myself outright, but would rather not use it unless absolutely necessary or at least allocate it toward necessary repairs.