005 - EXPENSES - How to estimate expenses and handle contractors
May 17, 2020•43 min
Episode description
EXPENSES
- 50% rule is good -- gross Rents - 50% is your expenses, excluding mortgage costs
- Always budget at least $200/mo
- 5% gross rent for CAPEX
- 5-8% gross rent for Vacancy
- Build a spreadsheet to figure out your CAPEX from scratch. It is worth the time.
CONTRACTORS
- Contractors respond to CASH and INCENTIVES
- Start small and work your way in with them
- If you do your own demo, you will get a better quote