What’s also true is that you can deduct expenses and even depreciation on this same % and subtract the first $1000 before calculating the UBIT.  

Lets say its 5 years later and you paid the 400k loan down to 350k and you sell one of the 100k houses for say 150k.They calculate that its one of the homes that was allocated at 20%. 

Calculating the Deduction: Choose between the simplified method (a flat rate per square foot) or the regular method (actual expenses).How do you manage your home office deductions?

View report*This link comes directly from our calculators, based on information input by the member who posted.

This is just a general spreadsheet for calculating capex, regular expenses, vacancy, etc.

BiggerPockets also has a calculator to analyze deals, and I highly recommend you start this as soon as possible, even if you are not ready to buy.

I sometimes use Loopnet.com for quick examples of multifamily properties in different cities and the cap rate they produce, including the calculation itself.  

., through a 1031 exchange), you may have to recapture the depreciation upon sale.4.Switching from long-term to short-term rental (STR) applies for the full calendar year when calculating depreciation benefits.5.Using co-hosts may help, but be cautious of the 100-hour requirement for material participation.

Upon move out and receiving a portion of the security deposit, we were charged an over $400 cleaning fee in addition to some normal wear and tear items because they exceeded the apartments self calculated normal wear and tear allowance.

You should be calculating Cap Ex for all long term items that will need replacement at some point - appliances, roofs, ac, water heater, etc.