Renting to the right tenant is critical to keep vacancy rate and repairs at a minimum. Below is an example showing the difference in annual income at 100%, 80% and 60% occupancy rate. Some additional costs not included in the model below includes the costs associated with rehabbing the unit between tenants as well as additional fees paid to the property manager to advertise and lease the unit.
For information on depreciation, please see this IRS publication. As you can see from the above, the vacancy rate is critical information when evaluating a real estate investment. As part of my due diligence for you I evaluate the vacancy rate and check it with one or more property manages who already manage investment property in the area.
Contact me if you are considering buying or selling Las Vegas real estate. You will be glad you did.
...Eric
Eric Fernwood
RE/MAX CENTRAL
8400 W. Sahara Ave
Las Vegas NV 89117
Email: EricFernwood@gmail.com
Website: www.EricFernwood.com
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