1 bd 1 bath home rental

[Jackie Parham]

I'm looking at a house that is only 1 bed and 1 bath, but is in a good area and looks clean. I ran the numbers and it would be a home run. My question is how hard is it to keep a 1 bedroom home occupied?

[Bonnie Low]

I'd say that depends a lot on the location. Is it in an area where there are a lot of 1/1's? Any rental that is kind of an albatross - one of a kind or odd for the neighborhood - will probably have fairly high turnover. 1/1's tend to be popular in bigger inner cities particularly with younger renters. A 1/1 in a mostly blue collar area with families probably won't be as desirable. Is the square footage big enough to add a second bedroom? If it's a home run from a cash flow perspective as a 1/1, making it a 2/1 should be a no brainer.