What’s the hardest part of analyzing a rental deal for you?
I’m trying to understand how small rental investors actually evaluate deals today.
When you analyze a potential rental property, what part is usually the most uncertain or hardest to estimate accurately?
(e.g. rent estimate, repairs, taxes, cash flow, etc.)
I’m not trying to sell anything—I’m just trying to understand how people actually do this in practice. I’ve noticed a lot of people use spreadsheets or rough rules of thumb, and I’m curious where the biggest pain points are.
Most Popular Reply
I can tell you how we evaluate deals, which is we look at several factors, including:
- the location
- the tenant pool mix
- job outlook
- tenant laws
- potential appreciation
I look at every rental. Any situation where it is at least a five-year hold, and evaluate it based on that.
- Chris Seveney
7e investments
3 Reviews
5.0 stars