How to calculate a good deal ? 50% rule in effect

[Joseph Tarallo]

I am in the process of finding a investment property single or multi family. From what I been reading on here it seems like if you still have some cash left over after the 50% rule and mortgage it is a good investment deal ?

With the 50% rule in effect on the properties I been finding, I'm only seeing a cash flow of 100-200$ with a 20% down payment. I don't feel like that is that great of a return. Is the 50% rule very conservative and typically you should have more cash flow than what the 50% rule shows ?

[J Scott]

Originally posted by @Joseph Tarallo:

What are you guys typically seeing as cash flow after the 50% rule and mortgage ?

I care less about the total cash flow and more about the ROI. $100 per month in cash flow is great if I only have $5,000 invested in the property...that same $100 per month isn't very good if I have $50,000 invested in the property.

In terms of ROI, I like to target at least 15% cash-on-cash returns for a rental...if I can't get that, I'll either flip the property or not buy it.