Updated almost 5 years ago on . Most recent reply
1% rule for return on investment
I’m a first time buyer and wondering if the 1% rule is a good number just for starting out.
My current private seller is offering $190k for a newly renovated home, all new appliances, heat pump, wiring, plumbing, and it has an ensuite in the basement but we have yet to negotiate that number further.
The top unit pulls $1100 a month but she says it could be pushed to $1500 a month because it’s a 3 bedroom.
Bottom unit pulls $600 and is basically a studio. Top unit pays heat and electricity and the bottom unit simply just pays rent since it’s so small it’s hard to split the expenses.
Wondering what numbers fellow investors look for. What would you guys ask or negotiate with this particular deal? Thank you