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What Is the 2% Rule in Real Estate? A Simple Way to Spot Profitable Rentals
Adrian Selwyn 13 January 2026 0

What Is the 2% Rule in Real Estate? A Simple Way to Spot Profitable Rentals

The 2% rule in real estate helps investors quickly identify rental properties likely to generate positive cash flow. It says monthly rent should be at least 2% of the purchase price. Simple, practical, and widely used by savvy landlords.

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