Running numbers on a potential rental property to buy doesn’t have to be hard. Once you know the formula, you can use the same one every time so you can run the numbers very quickly. This explanation does not include rehabbing, but those numbers can be added in easily!

For a detailed explanation of calculating rental property numbers (so easy you can do it on a napkin!), check out one of Ali’s BiggerPockets articles explaining just that!

Rental Property Numbers so Easy You Can Calculate Them on a Napkin

 

Comments
  • Shawn
    Reply

    Great video, but could you please explain the vacancy and repairs in your calculations?

    • Ali
      Reply

      Absolutely Shawn, thanks for reaching out! The vacancy and repairs are the only numbers in the calculations that are estimates. There is no way to know for sure how high those will run in terms of actual expenses, so I always come up with a ballpark to include. Because if you don’t, the returns you calculate will never be realistic because if you own a rental property you will always experience vacancy and repairs. Hope that helps?

  • Kevin C
    Reply

    Great video! It was very informative.

    • Ali
      Reply

      Thanks Kevin!

  • Kim
    Reply

    Love it! Thanks for sharing! And, you didn’t even use the calculator! I will use this and create an excel schedule for quick references!

    • Ali
      Reply

      Haha… I know. I really just wanted to show it off on video. It’s my favorite. 🙂 Standby too.. I am going to start offering an Excel spreadsheet on my website for free based off the formulas in the video!

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