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Bessy Reyes
  • Orange County, CA
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Multifamily 1 Percent Rule

Bessy Reyes
  • Orange County, CA
Posted Nov 16 2020, 21:45

Hi Fellow BPers, 

I am looking into duplexes or triplexes. However, I’m confused as to how one applies the 1% rule. I know the 1% rule is not set in stone but if I wanted to use it as a rough metric should I be looking to a multi that gives me a 1% return with only one unit being occupied or when both are occupied? 
I understand that there will have to be savings for when there is a vacancy but I’m trying to figure out how to filter homes faster. 

Thank you all in advance! 

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