This is a good idea. The effective life outlined by apmashere is a good starting point I think.

Margaret www.dmrealty.com.au

Providing an annual budget is just part and parcel of CRE (when it forms part of the agent’s duties). This can be a low cost/high value add-on for owners, especially where they like to see that they are getting a bit more value from their PM fees.

The budget doesn’t need to be anything too elaborate but is more easily complied where you are responsible for the payment of all outgoings ie rates, water, insurances, strata levies etc with the additional inclusion for programmed maintenance eg lawn mowing/gutter cleaning etc, some allowance for preventative maintenance (exterior painting, hot water heater inspection/service etc) and unscheduled maintenance (ie breakdowns – blocked drains etc).

Ok, i am very proud to say that i have created my own Excell spreadsheet that landlords can use. It has the item, the life span, the owner then enters how old they think their item is, the cost of a new one, and it automatically generates them a monthly and yearly budget amount, based on the life LEFT of the item.

For example, if carpet has a life span of 10 years, and a landlord enteres that theirs is 5 years old, and will cost $10,000 to replace, the system automatically tells them that they need to put $2000 a year away, or $166.667 a month away.

Im going to test this out on a few landlords, see if there is any faults with it, or how to improve, and if working OK then will see if apmasphere would like to put it on here for other people to use.

Nice work Keira, what a fantastic idea! We’d love to see your investment budget so don’t forget to keep us updated. 

This sounds really good—I wonder if apmashere could make one for us to use—That’s if Keira doesn’t mind us using this idea (Not all of us-particarly myself are not that good a doing this sort of thing on excel)

Margaret www.dmrealty.com.au

Not at all ! :) is there some way that i can upload something to apmasphere that they can look over and/or adapt for other people to use??

Keira – Wow!  We will definitely load it to Documents and we’ll call it “Keira’s Investment Budget Planner” unless you have a preference.

Do you have an email that i can email it through to Emily? Its still a working progress, and doesnt have anything about emergency repairs yet. I am going to look up some statistics on how often drains get blocked, ovens brake etc etc, and try to incorporate that into it somehow… but more then happy for people to start trying it and let me know what they think..

ha ha ha ‘Investement Budget Planner’ is fine.

Yup, I just sent this to you via the Inbox. :-)