set of guidelines

Rehabbing, Fix and Flip, Rental Properties
1

does anyone out there use a set of guidelines in the houses/duplexes they look to buy for the purpose of rental?

if so, will you list what they are?

things like… must have a grm of ___, must be x% of the appraised value, must have ___,…etc.

there’s always exceptions, but what are your general guidelines?

thanks!

2

I do, but they may not make a lot of sense to you (LOL):

  • Must be 2 bedroom, much preferably 3…

  • Preferably 2 bath.

  • Preferably a fully fenced yard

  • Must have central air and heat (it’s Louisiana – 'nuff said!)

  • Must be in the Bossier Parish School District

  • Must be within 15 miles of my house

  • MUST CASH FLOW!!!

  • Must be under $100K

I “do the math” on each individual property (pro forma)…I don’t play with GRM, etc. I have a pretty good appreciation value in the market and what the rental incomes should be in given neighborhoods…

Keith