Very specific dilemma just popped up.I'm attempting to rent out the main portion of a duplex I recently purchased in Key West, FL.

Do you factor in property management fee as part of your formula to calculate Cap rate?

Don't forget to factor in the 1.75% upfront charge for the FHA loan, which could be a problem if you are a little tight for cash upfront.

Fridge compressors fail and are not worth repairing, stoves are easy to repair as long as main board does not fail.

A couple months ago I bought a duplex in the Northside area off of the Main St Metro Rail (convenient 5 min transport to downtown).

Purchase price: $30,000 ARV $65k needs no major work, mainly cosmetic.

@Benjamin Zwiebel the market where you choose to invest is the biggest factor in whether an short term rental is a smart investment.

Maintenance I factor to be $70 / month.

@Stephen RookerA good rule of thumb to use is $100/sqft, though keep in mind there are a significant number of factors that will effect the end number, especially with multi unit construction.  

Congrats on getting the property, I would still recommend knowing what your cost will be so you can either budget for it or factor it in when listing the property.