Disclaimer... New Investor, purchased my first duplex this past Sept. Now to my question:I understand the 50% rule and the 1% / 2% rule, what amount to you apply the rule? For example if you purchase a property for...
Hi AllDo you follow the 1% rule (gross income must be equal or less than 1% purchase price) or the 50% rule (50% of gross income be allocated to operating expenses) when analyzing deals in Canadian real estate? I feel...
I keep hearing the 50% rule and the 1% rule i was wondering what they are and how would they apply to a house hack?
Ok so I know not to live too strictly by the 50% rule and it is used in order to give a rough/quick analysis of properties.
That being said... I've seen some explanations of the 50% rule that doesn't quite make sense...
I just want to make sure I have an understanding of the 50% rule.
8% Vacancies
6% Insurance
11% Taxes
11% Maintenance/Utilities
6% Management
8% Major Projects
With the remaining 50%, you subtract the mortgage paym...
say if a multi needs to be rehabbed in order for it to be livable. Say it needs 60-80k in work. Say the asking price is 375,000.00. Do you apply the 50% rule to the 375k? Or the purchase price plus the rehab?
Hey guys! Sorry if this is naive but I figured this is the place to ask my "stupid" questions. How often would you say the "50% rule" of expenses applies in real life?
For example, how many years say in 10 ...
I have read the stickey's and I believe I understand the basic principals behind the rules, but I am having a hard time adjusting it to my local area. I want to throw out an example of a typical home in the area I am...
I try to share things I figure out as I figure them out in case they might help someone else. The 50% rule is popular and of course everyone adds the disclaimer that it isn't the end-all be-all. I live in a high-pro...
Hi everyone Im pretty new to Investing I mean no experience, need help / advice...In the 50 % rule, should I be including an estimated # for Tax's and Insurance? Or where would these expenses be subtracted from?