Definitions for Income and Expenses (Recurring)

Rent

Income received if one has a tenant paying for the use of the property.

Extra Income

Any additional income that one receives for that property such as renting out the garage separately.

Vacancy Rate

The percentage of which the property is unoccupied or not rented at a given time. This is used to calculate the losses incurred when there is no tenant in the property.

Condo Fees

This is the collective fee that is charged for the shared common elements associated with condominiums or similar properties. For example, if there is a central heating system, shared electrical meter, insurance, or reserve fund contributions.

Utilities

Any expenses that are related to utilities such as water, heating or even internet connections.

Maintenance Cost

The costs incurred when ensuring the continued use of certain assets to the property such as repairs or maintenance of such things as lawn care.

Management and Advertising Costs

Any costs incurred for either hiring a management company to take care of the property or advertising fees if one decides to deal with the property themselves.

Insurance

Cost of the property insurance.

Property Tax

The tax paid to the government for the property.