I am just beginning the search for my first property and am getting bogged down by the "1% Rule" that is often referenced. it seems that there are few markets that satisfy this Rule, and those that do don't seem like ...
Hello everyone, From what I understand the 50% rule is a general rule of thumb for estimating monthly expenses and cash flow for owner-occupied multifamily rental properties. My question is:Does this rule apply for mu...
So, i'm scouring Loopnet for commercial multi-family opportunities. I've noticed that many of the properties that list brief financials on loopnet have terrible overhead/operating expense ratios.
For example a huge 2...
While reading the Ultimate Beginners Guide I was introduced to the 50% Rule and the 70% Rule, and the 1% Rule I have heard was bumped up to 2%. I like the 70% Rule as a good guide to make sure you are getting a good d...
So i've heard many people talk about the 1% rule. The rule states that the monthly rent should be around 1% of the purchase price. Now I want to say I do understand this is a rule of thumb and I do understand it's no...
Do you factor in the 1% rule for initial asking price or for the ARV amount to predict cash flow?Does cash out refinancing 70-75% play into the 1% rule?confused newbie
Hey BP! It's my first post :OI'm looking into doing a flip (also a first). I'm running numbers in my area, but I'm having a hard time believing I'll be able to purchase a place using the 70% rule. Here's an example: ...
I hear about financing out of mortgages and loans often. However, what I don't know is when seasoning requirements generally apply. While I realize that non-conforming loans can choose their own restrictions here, let...
How do I determine what percentage (65, 70, 75 or 80) to apply to the 70% rule when figuring out offer amounts?
The market has changed considerably over the last several years and while housing prices and rents have accelerated, the cost of a new fridge or plumber repair call really has not. Therefore, the net cash flow (especi...