5 Simple Formulas Every Buy & Hold Investor Needs to Know
Regardless of their experience level, at some point all real estate investors are faced with the analysis of a particular deal: Will this property make a good investment? Is it a good performing rental property now? Can in be a good performing rental property in the future if we buy it right?
And how the heck are we supposed to know that going in?
The following video discusses 5 key metrics every buy and hold real estate investor needs to master, including:
- Cap Rate
- The 50% Rule
- The 1% Rule
- Debt Service Coverage Ratio
- Break Even Ratio
Once you master these five simple formulas, you can quickly and accurately analyze any potential investment property!
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Jeff Copeland is a real estate broker and property manager in St Petersburg, Florida, and broker/owner of Copeland Morgan LLC. You can find him on Bigger Pockets under @Jeff Copeland.
Comments (2)
@Jeff Copeland Thank you very much for this info!
@John Thedford Thanks for the recommendation. I'll purchase that book.
Brad Jones, over 5 years ago
a must-have book is called "what every investor needs to know about cash flow" by Frank Gallinelli
John Thedford, about 6 years ago