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

These are initial investment and yearly rental income.When calculating IRR, my understanding is that we should include sale proceeds as part of the final year cash flow.

This will help you account for the potential of under calculating real estate taxes.

How much should I calculate in for CapEx and repair/maintenance costs here?

If the house needs work, or even if the systems are aging, I add this to my initial purchase price for the calculation, plus a contractor's price margin for the hassle involved. 

Find a good inspector that is trusted by professionals in your area and get a good pulse on the effective life of your big ticket items (Roof, HVAC, HW heater, etc.) and calculate out how much each will cost to replace, then do the math backwards for what you need to put aside for CAPex and maintenance. 

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

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

Daniel and everyone,Resurrecting this thread: I understand the recoup period calculation (loan cost/monthly savings) for a refi.

Below are the exact numbers that I calculated and would like to know if I'm doing it right.