invest 300k for a monthly rent of 2500$

[Prashanth Suresh]

I am looking to invest about 300k for a rental property in Texas/North Carolina with a steady rental income of 2500$ per month. Please let me know if this is a realistic number to chase. If so, please let me know areas, property managers who can help me with the same.

thank you.

[Benjamin Aaker]

We should just be clear first that 300k is the purchase price and you are not putting 300k down on a more expensive property. If it is the former, you are at break even or even possibly in the red. Have you heard of the 1% rule? That is what some say is the minimum monthly rent as a percentage of the total purchase price. For you, 2,500/300,000 is 0.8%. It's very difficult to get single family homes right now that cash flow as rentals. They are all overvalued from a rental perspective, unless they need a lot of work. I recommend to avoid this one.