What I take into account is the following: Principle, Interest, taxes, insurance and any known and set expenses I do not take into account vacancy or repairs (I realize they will both be there and hurt that 36 month rule but my return will still be over 25% annually.

Yearly mortgage break down: $84,378/12 Months = $7,031 Monthly Total Gross Income: $230,256+23,496=$253,752-10% Vacancy= $228,377 Expenses are $44,204 New Taxes are $50,000 = $94,204 Total Annual Op EX...Total Gross Income $228,377-Yearly Expenses $94,204= NOI $134,173Total Annual income: $228,377-Total Annual Expense  $94,204 - Total Annual Debt Service $84.377= Cash flow $49,622cap rate= 5.3%  NOI 134,173/selling price  2.5 M=5.3%Cash on Cash= 6.8% Cashflow $49,627/Acquisition cost $724,932= 6.8%DCR=1.59% NOI 134,173/ Annual Debt Service $84,378= 1.59%..HOPEFULLY I DID THIS RIGHT?!?!?!?

Having this ability during the current pandemic could have allowed agents to show properties without being at the properties or allow landlords to show their property to fill vacancies.2.

I was talking to a real estate agent about rental properties, and i was explaining when im analyzing a deal (which is all i have done so far) how i calculate in percentages for vacancy’s, repairs, cap ex etc.

I would consider doing some sensitivity analysis with the capex and vacancy.

Also increase your vacancy rate to 10-12% and see if it's still a positive cashflow.

I will have a company managing my out state investments, but I want to keep track of and budget for monthly costs: vacancy, CapEx, management, utilities, repairs, insurance, P&I, etc...

As mentioned, a turnover and 1 month vacancy would cost me more than a dropped rent.

I am underwriting a 20% economic vacancy to account for an increase of bad debt to 7% and concessions to 3%.

Hey @Nick Clurman - I'm trying to fill a vacancy in a duplex I own right now.