I try to evaluate all properties at 8% vacancy (1 month vacant).

We got her evicted, pulled a HELOC, gutted the house, and started from scratch doing a lot of the work ourselves.After the repairs we found an awesome accountant who is also a REI, she got all of our expenses in line including CapEX, vacancy, maintanence, and even 10% to hire a PM or to pay ourselves for doing it.

You're still unlikely to cash flow once you take into account vacancy, repairs, CapEx, and management, @Cody Richard.

The seller won't release the P&L until we're under contract.When I plug in an estimated 7% for vacancy/concessions, the deal rocks, but I'm concerned that the current NOI (with high vacancy history) doesn't justify the price of the deal.In this type of situation is it reasonable to make an offer and then get the official numbers later, or is it a red flag that indicates the deal should be avoided?

I'd expect 1/2 that.I'd bump Repairs and CapEx up to 15% combined.I use 8% vacancy in my underwriting.

Are these area good for rentals with low vacancy rates?  

This gives her stable income without dealing with the tenants, vacancies, calls about toilets, etc.

I am running numbers in the area quite a bit weekly if not daily, what is a reasonable vacancy rate and PM rate?

@Jaysen Medhurst @Curt Davisowned it for 2 years. no vacancy and repairs up to now.

There's no way you're actually cash flowing once vacancy, CapEx, and repairs are considered (you should also underwrite for management, even if you're self-managing). $500k of equity is nothing to sneeze at.