Brandon Turner's Webinar Worksheet

[Heather Bergman]

Hello, all,

Regarding the spreadsheet that Brandon used on the webinar, where is the 50% rule applied? It seems like the "Net Operating Income ($ left to pay mortgage)" cell is using 100% of the gross rent. I am confused why you would not first multiply the total rent by 50%, then calculate the NOI after teh 50% haircut. So, if total monthly rent is $1000, why not calculate NOI based on 50% * Total Gross Rent (i.e., $6,000), not the $12,000?

Thank you for the help!