how to determine minimum cashflow

[Nilofer Sickander]

Hello BP,

I've attended multiple webinars where Brandon Turner does an amazing job doing rental property analysis which is immensely helpful. I've noticed though he uses $200/month for SFH or $100/month for multi family homes cash flow to determine if its a good deal. I also attended a local RE meetup where one experienced investor indicated they don t get into anything that doesn't give them $300/month at least. How do we determine what is the right/minimum amt to look for cash flow wise?

[Chris Gordon]

There's a lot of dishonesty when talking about cash flow. Some folks wont include the holdbacks such as capex for one reason or another. Some Ive met are putting aside a fraction of what Id expect to be put aside. Their cashflow looks amazing, but their Internal Rate of Return will tell the truth