What does your "1%" rule look like in the Austin Market?

[Jeremy VanDelinder]

Hey fellow-BPers,

I'm on my second flip in the Austin market (this one is Pflugerville/Round Rock) and own another rental in Florida, but my long term strategy is to get more buy-and-hold here in this (greater Austin) Market. For those of you doing buy and hold (esp. multi-family) around here what is your rule-of-thumb metric? I know a lot of the national books/podcasts/discussions use the 1% rule--that the monthly rental should be at least 1% of purchase price-- but that varies from market to market. It looks a little difficult to attain here in the metro. What do you use as a reasonable benchmark? .7%?  .8%? or do you just hold out for the rare 1% find?