Following the 1% Rule in SL, UT and Surrounding Counties

[Matt Quinney]

I understand the 1% rule as it applies to charging rent but it seems unrealistic in our neck of the woods. In my neighborhood we had a home recently sell for $465,000 but there is no way you could ever charge $4650 for rent in order to meet the standard. What is reasonable for this market? Is there a different philosophy to make sure one is getting into the right deals? Should I be more focused on making sure the rent supports a 1-2% true cash flow approach?