Unless you are 100% sure about the current owner's level of upkeep, I'd bump the capex and R&M to 10% until you get a handle in things.  

Here is a breakdown of the scoring and weighting for FICO.

Peter has already covered this for at least Texas in my TAR a notice is not required if you are checking the condition of the property which makes sense bc then if they are not upkeeping the  property then they can tidy things up hide hole etc prior to you showing up.I will say I ran into problems with my current tenant on this they are NOT happy and expressed frustration that I would be showing up unannounced. 

@Jacob Breazile - Make sure to account for the following expenses:1) Mortgage2) Mortgage insurance (PMI or MIP) or FHA Risk base3) Property Taxes4) City Taxes5) HOA (Home Owner’s Association) Dues and Fees and Assessments6) Insurance Property Hazard InsuranceFlood InsuranceEarthquake InsuranceUmbrella Insurance7) Vacancy Rate (usually 8% - the equivalent to one month a year, or 5-6% if multifamily and/or if experienced, if not use 8%)8) Utilities (you’ll have these if your tenant is not covering them and/or during vacancy) Water § Sewer § GarbageElectricityNatural GasPropane9) General Maintenance (usually 5%) Upkeep § LandscapingSnow removalRepairsNew Appliances10) Capital Expenditures (usually 5%, higher is the property is old and obsolete, less if fully rehabbed and all mechanicals and roof are new)11) Property Management (8%, even if you self manage, your time still has value and there might be a time when you'll want to be completely hands off or you'll not be able to do it, vacation, retirement, etc.)

Unlike a house that has constant property tax, upkeep, and the like. 

Keep in mind though, i don't know your area specifically, but better quality house rents for higher rent, and whether the house is nicer or not, the upkeep costs are the same (e.g.

Then you can blame the lease when something unexpected happens.The lease/rents will be based on a portion of common area expenses, like the property insurance and taxes, the occasional re-seal the parking lot, seasonal sidewalk clean-up and roof maintenance; plus the upkeep of the tenant's space - spell out who will maintain the furnace and who will pay the plumber when the toilet backs up?

Should I have a weight limit on pests? 

Way too many people put too much weight on an appraisal.

So not a lot of upkeep or overhead..