Free calculator
1% Rule Calculator
Inputs
Type whole dollars. Commas and symbols are ignored.
Rent-to-price
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Enter both numbers to see the result.
1.0%+ passes the screen. In many markets today, very few listings hit 1%, which is exactly why finding the rare ones fast matters.
What it measures
The 1% rule is a fast screen: monthly rent should be at least 1% of the purchase price. It's a rough filter, not a decision (it ignores expenses, taxes, and financing), but it's a quick way to throw out obvious non-cash-flow deals before you underwrite.
Questions
Is the 1% rule still realistic in 2026?
In many markets, very few on-market listings hit 1%. It's gotten harder. That's the point of a scanner: surface the rare deals that do, instead of scrolling thousands that don't.
Is passing the 1% rule enough to buy?
No. It's a screen, not an underwrite. It ignores expenses, taxes, vacancy, and financing. Use it to shortlist, then run a real analysis (cap rate, cash-on-cash, DSCR).
One number screens a deal. The full analysis underwrites it.
10 specialist reads, a 10,000-path Monte Carlo and a pencil price: the most you can pay and still clear the lender's DSCR floor. 2-3 minutes and under $3 a building.
- specialist reads per deal
- 10
- Monte Carlo paths
- 10,000
- per full analysis
- 2-3 min
- a building, any plan
- <$3