Buying & Selling Real Estate
Market News & Data
General Info
Real Estate Strategies
Short-Term & Vacation Rental Discussions
presented by
![](http://bpimg.biggerpockets.com/assets/forums/sponsors/hospitable-deef083b895516ce26951b0ca48cf8f170861d742d4a4cb6cf5d19396b5eaac6.png)
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Tax, SDIRAs & Cost Segregation
presented by
![](http://bpimg.biggerpockets.com/assets/forums/sponsors/equity_trust-2bcce80d03411a9e99a3cbcf4201c034562e18a3fc6eecd3fd22ecd5350c3aa5.avif)
1031 Exchanges
presented by
![](http://bpimg.biggerpockets.com/assets/forums/sponsors/equity_1031_exchange-96bbcda3f8ad2d724c0ac759709c7e295979badd52e428240d6eaad5c8eff385.avif)
Real Estate Classifieds
Reviews & Feedback
Updated over 4 years ago on . Most recent reply
![Danny Webber's profile image](https://bpimg.biggerpockets.com/no_overlay/uploads/social_user/user_avatar/640547/1621494436-avatar-dannyw15.jpg?twic=v1/output=image/cover=128x128&v=2)
Danny WebberPoster
Agent
Property Manager
Pro Member
- Real Estate Broker / Investor
- Austin, TX
- 449
- Votes |
- 834
- Posts
THIS YEAR YOU NEED A 12% NET NET RETURN ON YOUR REI TO BREAKEVEN
Am i thinking about this the right way?
US dollar net value drops almost 7% in the last three months
+
An assumed true inflation rate of 5% (shadowstats.com)
Loss of purchasing power 7% + Inflation @ 5%= 12% decline in overall value of the dollar?
So ever dollar you take in for rent is worth .88 cents so far this year. The only upside is low interest rate long term debt is now cheaper to hold due to the devalued dollar.
Thoughts?
- Danny Webber