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1% Rule Calculator

Screen rental deals quickly by comparing monthly rent against total acquisition cost.

Deal Inputs

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Ready to Analyze

Enter deal details and monthly rent to screen the property.

Ratio
1% Target
2% Target

Why Use This Calculator

Screen deals fast by comparing gross monthly rent against total acquisition cost and checking 1% and 2% thresholds. Use this as a decision tool, then compare assumptions to real operating data over time.

Use quick screening, then move to full underwriting.

Push promising deals into Abode to run deeper underwriting and track actual performance.

Frequently Asked Questions

What is the 1% rule?

The 1% rule checks whether monthly gross rent is at least 1% of total acquisition cost.

Does passing 1% guarantee a good deal?

No. It is only an early filter and should be followed by full NOI, DSCR, and cash-flow analysis.

Should rehab and closing costs be included?

Yes. Include all upfront acquisition costs for a more realistic rule ratio.