1% Rule / 2% Rule Rental Screening Calculator

The 1% and 2% rules are quick screening tools to evaluate rental property deals. They help investors quickly identify properties that are likely to generate positive cash flow.

How it works:

• 1% Rule: Monthly rent should be at least 1% of the purchase price
• 2% Rule: Monthly rent should be at least 2% of the purchase price
• Higher ratios indicate better cash flow potential
• These are screening tools - always do full financial analysis

Important: These rules don't account for expenses, financing, taxes, or market conditions. Use them for initial screening, then conduct detailed cash flow analysis.