Meaning the all-in costs (taxes, insurance, marketing, rent and any additional CAM fees) must be less than their max "operational percentage".Example: Restaurant 'A' does $550/sqft in sales (which is typical of a burger joint, or a Chipotle).

McDonalds doesn't ask their customers if it's okay if they bump up the price of a burger.

I live in the Bay Area where typical B class SFR prices start at $600k which would put the 2% rule rent level at $12k!!!

Rents for: 5k/month(net 2.5k using 50% rule)Rent Appreciation: 0/moProperty value appreciation: 100% every 10 years for the last 50 years.Property 2: Initial cost: 100,000.

Oh, and wouldn't these top-level, management actions trips (and the Mad Greek lunches - or 'Awful Awful' burgers at Jerry's Nugget in Reno - and other 'reasonable entertainment') also be business expenses?

Personally I say Don’t waste your time with single family homes and don’t buy a cheap property like that unless you can achieve 1% rule ( preferably 2% )rule rents or your asking for trouble .

Gas Stations, Starbucks, Burger Kings, etc.

The 2% rule really only applies to a specific set of parameters.

Advertise on the property.In How to win friends and Influence Others he talked about McDonald's not being in the burger business but being in the Real Estate (namely land) business.

Crazy concepts of independent 'compilers', which don't exist, gave rise to the idea that buying loans could be as simple as driving through Burger King and ordering.