1% Rule? 2% Rule? Help!

[Keith Kennedy]

Are these two separate rules of thumb? Writers have opined on this forum before on this topic, but I remain confused. Rules are made to be broken, so how far do these rules extend?  Assuming they are different rules, when does each apply?  If they are the same rules, why are they differently named?  Thank you in advance. 

[Richard Dunlop]

Originally posted by @Joe Villeneuve:

It's really simple.  1% is used when you want your milk to taste like water, 2% is used when you want to drink healthier milk.  It takes some getting used to, but once you do, going back to heavier milk tastes funny.

Other than that, it's a lazy way to guesstimate whether you have a good deal or not.  Every market is different in so many ways that using it as even a guideline can do more harm than good.

Bottom line, learn how to estimate rehab, analyze markets, and analyze deals on their own merits...and above all, never argue with the numbers.

I'm drinking HALF & HALF Working on one that is pure cream!