Passive Real Estate Investing
Ask Marco - Do providers mark up the price to hit the 1% Rule? | PREI 161
Jun 27, 2019 · 8 min
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Ask Marco - Do providers mark up the price to hit the 1% Rule? | PREI 161

So today we get a question coming in from Dave. In fact, this came in yesterday or the day before and it is related to the ask Marco episode I did last week about the rent to value ratio. And this one is actually a little bit more specific cause he's referring to it as the 1% rule, which a lot of people refer to it as and he says, Hi Marco. I've been a fan of your podcast for years now you provide great investing insight and knowledge in a trustful non-objective manner. Thank you for that. As you being in the turnkey business, can you explain why the 1% rule seems to be the baseline in the rent to value ratio? Sometimes it's a little over and under, but usually close when looking at the turnkey listing.

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