Projecting Rent Rates on an Investment

[Ryan Smith]

Hi BP Family!

I’m currently analyzing and evaluating numerous properties for a potential househack. I’ve found that most properties I am evaluating will work for what I want to do in my market area of Raleigh, NC. Now, the problem becomes, can I still get my househack to cash flow after I move out without renting by the room? I’d much rather know I’m investing in a househack that would still cash flow if I decided to not rent by room.

My question is, I know what I can demand per room in the Raleigh area, but I'm a little lost when it comes to evaluating fair market rent for the SFH as a whole. Is there a certain way you've had success in determining fair market rent on your properties?

My goal here is to fully evaluate my deals both as a househack and a SFH rental. I'm hoping this will help with identifying a great deal amongst the many "good househack deals".

[Ryan Groff]

@Ryan Smith I have been in a number of different markets and Raleigh has been without a doubt the hardest to pull rental comps. The MLS seems to have very few, and Zillow hasn't been the most helpful either. I have used a combination of Zillow, Rentometer, and MLS to find my rates, but the best tool I have had is reaching out to property managers in the area. I found found 2 or 3 I trust and their numbers usually line up.