Hi everyone,Received a recommendation day to look into Golden Rule Real Estate team for property management services. 

The 1% rule really doesn't apply here in California as we're more of an appreciation-based state.If you're willing to wait to see the returns until you sell, we've probably still got several years of solid appreciation in Sacramento / Stockton areas because of all the Bay Area migration into the Central Valley.

Yet I keep hearing about this 50% rule that half the gross rent will be put towards expenses... is this rule really applicable to Boston?

I'm looking for 2-4 unit multifamiles in the Houston area (no greater than 20 miles from central Houston) and getting anywhere near the 2% rule looks like a fairytale.  Just wondering if anyone is actually doing it here?

Also many old tools in walls over the years; usually tape measures (old fashioned kind that fold out like rulers), planers, levels, flat bars, crow bars, nailsets, hammers and such.

I didn't read this to ensure its accuracy but it certainly looks to be from a credible source. https://www.irs.gov/pub/irs-utl/33-Real%20Estate%2...Cliff Notes:Real Estate Professional Qualification • Material participation in each specific rental • Material participation in separate Real Property Trade or business • 50% rule • 750 hours rule • 5% ownership ruleReal Estate Trade or Business Defined IRC Sec. 469(c)(7)(C) Any Real Property: • Development or redevelopment; • Construction or reconstruction; • Acquisition and/or conversion; • Rental Activity that is not a Passive Activity; • Property management; • Brokerage activities.Example 1: Laura owns 5% or more of a real estate sales office • Works full time as a broker • She owns 3 rental properties and: • She finds the tenants; • Approves tenants and leases; • Approves and oversees repairs & improvements • Net rental losses are $31,000 and her modified AGI is $160,000 before the losses • Deduct the full $31,000 in the current tax yearExample 2: John acquires old homes and contracts 3rd parties to renovate and ready for resale.

Quick example of 70%.ARV is $125kNeeds $30k rehab125k x .7 = $87,50087,500 - 30,000 (rehab) = 57,500 max offer priceThe 70% rule really just is a guide to ensure you are getting a deal on the buy.

Try to find a property that will fall under the 1% rule (Rents = 1% of purchase price).

Does the property meet the 1% rule.  

@Jonny MorrisThis is how I approach BRRRR properties.Quick analysis:  Property must meet the 1% rule (rent to asking  price ratio)