Not excessive but say in the 2-5% range for the new one.  

Now, if your main source of living and day to day trade consisted of actively acquiring notes at a discount, selling such notes at an amount in excess of your discounted purchase, etc. there seems to be an encroachment on the definition of an ordinary trade or business.

@Andy Pat  if they prove you are liable for the damage, and the damage exceeds your liability insurance amount then you and your roommate will be personally liable for the excess. 

The only other excuse to hit a tenant up with excessive increases is if you significantly improved the property, even then you may be limited to increases on renewals. 

I have estimated in excess of 500 construction repair and improvement projects on residential properties.

Since this is a real estate investing board, I was taking the leap that Brother B very well might be encouraged to put his excess cash into... well... more real estate!

(What you think 10hrs to change out a toilet is excessive!!!)

Your excess amounts (that you would normally just stick in a bank account making less than 1% interest) go to pay down the excess payment you made at the beginning of the cycle.Right now my expenses are a bit all over the place because of some things I have going on, but once I get those worked out I am going to probably implement this.

You know, they will not cooperate.We're toying with the idea for our attorney to file a complaint of negligence on the building management and excessive and unneeded fees charged to us.  

California charges a minimum tax of $800 a year per LLC, and more if you have gross receipts in excess of $250k.