@aaron.standish: If you are trying to buy your first rental, this is the math that protects you before the house gets pretty in your head. Yesterday I said it takes me 8 to 10 offers to buy one house. That volume is only possible because I never run full numbers on a house that has not earned it. Screen one: my target is rent at 1.5 percent of every dollar in. Not the price, everything: price, rehab, closing costs. You will not always find 1.5, but 1 percent is the absolute floor, and under that I walk. Screen two: all of it has to stay under 70 percent of what the house is worth fixed, so the refi can hand your cash back. The house from yesterday: about $100,000 all in, rents $1,500 a month. That is 1.5 percent, the full target, screen one clears. It appraised at $190,000 fixed, so I was at 52 percent of ARV, screen two clears with room. It pays me $425 a month and my cash came back out. Most houses fail these screens, and that is the point. The math says no in a minute, so you do not have to say no after you have already fallen in love with it. These two screens do not replace real underwriting. They decide which houses earn it. Not advice, just how I run it. Tomorrow: how I put a number on a rehab before I ever walk the house. So what is stopping you from running these two numbers on a house this week? 👇 #realestateinvesting #howtobuyarental #rentalproperty #rental #realestate

4651

121

2026-08-13 13:37:35

To see more videos from user @aaron.standish, please go to the Tikwm homepage.