Heres the way I calculate it,(Gross Scheduled Rent) - (Vacancy rate (at least 5-6%)) = Operating Income(Operating Income) - (Repairs & Maintenance + Utilities + Taxes + Insurance + Management Fees (at least 8%) + Replacement reserve (capX)) = NOIThen I simply divide the asking price by the NOI (Asking Price /  NOI) to get the cap rate.I can't find anything above 5 or 6 % at best, am I doing something wrong or does the MLS just suck that bad??

The utility room is a nightmare.  

We will be utilizing it.

I am sure it will take several years for the benefits to flow through, but when the residents in that market see their utility bills drop substantially in the future, all landlords should be able to push market rents a little. 

Some areas won't let the tenant have certain utilities in their names.Kelly

Many around here would tell you to figure about 10% of additional expenses from your gross revenue, although your current rates and what other utilities you have to cover obviously make situations variable. 

New property to be managed professionally.Learn as much as possible about the real estate industry to determine where my short term and long term niche lie and to enable utilizing my strengths to add value in partnerships.My questions to the community:I prefer to invest in the greater Seattle or Washington / Oregon area.

In addition to being new investors, we’re moving to a new state, so I’m not familiar with insurance costs, utility costs, etc. in this market.

Utilities are less of a concern because you should let your tenants pay if units are individually metered or use a chargeback system if they are not individually metered.  

The modified IRR and Net Present Values are alternative evaluation tools to utilize when this occurs.