Rental Property Criterion & Metrics (SFH)

[Jibran Najmi]

Hello BP!

I am interested in finding out what everyone is looking for these days in their criteria.  I'm interested in comparing to my own criteria and seeing where I land among other investors.  Obviously markets vary, however some metrics are transferable.

My criterion:

Single family

$50K - 225K Purchase

$100K - $250K ARV

1000 - 2000 sqft.  (Prefer 1350 - 1800)

Built after 1980

I account for the following:

Property Management: 10% of rents

CapEx: 10% of rents

Repairs/Maintenance: 5% of Rents

Vacancy: 5% of Rents

Target Monthly Cashflow: $200/month

Target monthly rents: >0.9%

Debt Service Coverage: >=1.50

I look forward to your feedback!