Monthly Portfolio Report: May 2024
One of my goals with Rental Income Advisors is to be as transparent and data-driven as possible with my readers and my coaching clients. I think the best way to build confidence in a new investor is to actually show the numbers, to prove that rental property investing really does work as advertised.
For those reasons, I publish a monthly report on my portfolio’s performance. I hope that this chronological history paints a clear picture of what it’s like to be a remote landlord. It’s also a great exercise for me to be sure I’m staying plugged in to all my numbers.
Here is the update for May 2024. You can also check out all my previous monthly reports and annual reports.
Property Overview
I still had one vacancy this month, at Property #23. The turn scope there is complete, so I’m just waiting for my PM to place a new tenant. We’ve had good interest in the property, but no signed lease yet, which is a bit disappointing. Hopefully the new tenant will be in place soon.
Vacancy in the next few months will be a bit higher, since I have two scheduled turns coming up, one starting on June 1st and another on July 1st. I’ll be working with my PM to make these turns as quick and efficient as possible — which, if you’ve read my annual portfolio reports, you know is a big component of overall financial success for the year.
Rental Income
Nearly full collections this month — though one tenant didn’t pay until the 28th of the month, which is really late. This tenant has been in their house for many years, and has had some period of late payments, but they’ve always been able to get caught up before. Hoping that’s the case again this time.
Expenses
This screenshot comes from RentalHero, the online accounting tool I use for my portfolio.
Some detail on my expenses this month:
Maintenance & Repairs: Pretty good month with M&R costs, with just a handful of routine maintenance visits across my portoflio for plumbing, HVAC, etc. I budget ~$3K per month for monthly repairs in my portoflio, so this was month’s costs were quite low. The rent-ready costs ($156) are for lawn maintenance during the ongoing vacancy at Property #23.
Legal Fees: As I mentioned last month, this is the second charge related to a lawsuit brought by a previous tenant challenging the retention of her security deposit. This was for Property #22, and dates back to November 2023. The suit was settled, though I didn’t know about any of this until after the fact — so I’m still in dialogue with my PM about how to handle the fees, and whether I should be liable for them.
Utilities: This is for the ongoing vacancy at Property #23.
The Bottom Line
My financial model currently projects my Memphis portfolio to generate $9,397 of positive cash flow in an average month. This month, my cash flow was $11,585, which is a $2K+ surplus against my target. Despite the vacancy, I had full collections and low maintenance costs, which helped my bottom line.
Finally, here’s the running tally and graph I update each month. The dotted blue line indicates my projected average monthly cash flow for my portfolio in each given month. I’m extremely close to my cash flow target for the year, but this will be hard to sustain in the next few months as I cycle through those two upcoming turns:
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About the Author
Hi, I’m Eric! I used cash-flowing rental properties to leave my corporate career at age 39. I started Rental Income Advisors in 2020 to help other people achieve their own goals through real estate investing.
My blog focuses on learning & education for new investors, and I make numerous tools & resources available for free, including my industry-leading Rental Property Analyzer.
I also now serve as a coach to dozens of private clients starting their own journeys investing in rental properties, and have helped my clients buy millions of dollars (and counting) in real estate. To chat with me about coaching, schedule a free initial consultation.
