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Under this rule,multiply the property’s purchase price by 1 percent (or 2 percent)to determine the minimum you should charge for rent each month, according to Rocket Mortgage. To factor in repairs and expenses, add those amounts to the purchase price before multiplying by 1 percent.

People also ask


  • How much should you charge for rent?

  • Learn how to determine rental price, keep track of the rental value of your home and the best ways to collect rent. To determine how much rent to charge a tenant, many landlords use the 1% rule ?which suggests charging 1% of the home value for rent. For example, a home valued at $220,000 would rent for $2,200 per month.

  • How to determine a rental price for a house?

  • How to determine a rental price. Many landlords use the 1% rule to estimate rental value ?which suggests charging 1% of the home value for rent. For example, a home valued at $220,000 would rent for $2,200 per month. However, there are many factors to consider when setting a rental price, including: Local rent control laws.

  • Can You charge rent if you rent out your house?

  • Before you hand over the keys to your house, it a good idea to be sure that your prospective tenants have solid financials and can afford to keep up with their rent. If you檝e chosen to rent out your house instead of selling it, you can charge rent solely based on the size of your mortgage payments.

  • What is the 1% rule for rental value?

  • Many landlords use the 1% rule to estimate rental value ?which suggests charging 1% of the home value for rent. For example, a home valued at $220,000 would rent for $2,200 per month. However, there are many factors to consider when setting a rental price, including: Local rent control laws. Rental value of homes in the area.