Recent content by small_finch

I would underwrite the apartment using today’s full monthly figure and assume it stays there. If insurance or reserve contributions later fall, that is upside rather than something needed to justify the purchase. Also model another increase and a vacancy period before resale; a unit that only...

Insurance and property tax should be based on documents for this property, with care over what can actually be passed through under the tenancy. The same applies to other operating charges. A broad allowance can hide a mistaken assumption about who pays.