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Vacancy & expense sensitivity

A small educational table of net before depreciation under three vacancy rates and one expense shock. It is not a forecast and not an after-tax return.

Three layers stay separate: Market context is not on this table · Cash flow (vacancy and expenses) · Tax education (how net before depreciation moves). No blended after-tax return from live FMR.

Educational disclaimer

Educational only. This is not tax advice, legal advice, or a substitute for Form 1040, Schedule E, Form 8824, or a CPA. RentalAnalytics is not the IRS, HUD, or a 1031 qualified intermediary. Verify the current IRS publications and HUD documentation before you file, exchange, or set rents. Consult a CPA and, for exchanges, a qualified intermediary.

Tax-year assumption: educational illustration using IRS publications as they stood on 2026-09-06 (Pub. 527 and Pub. 946 then current). Not an official 2026 Form 1040 or Schedule E rate table. We do not invent 2026 brackets, 1250 rates, NIIT, or bonus lists.

Base case (annual)

Shown for context. Scenario percents below drive the table.

Exclude depreciation. Repeat inputs here, or arrive from the estimator hash (numbers only — no names or addresses).

Example: 10 means expenses × 1.10 on every row. 0 leaves expenses unchanged.

Three vacancy scenarios (%)
Inputs, formulas, assumptions, sources

Inputs. Base rents, a base vacancy percent (context), base operating expenses excluding depreciation, an expense-shock percent, and three vacancy scenario percents.

Formulas. For each scenario: vacancy loss = rents × scenario%; effective rent = rents − vacancy loss; shocked expenses = base expenses × (1 + shock/100); net before depreciation = effective rent − shocked expenses.

Assumptions. Educational sensitivity, not a forecast. No HUD auto-fill. No depreciation, debt service, or tax rates on this table.