Most beginner investors buy a property that "feels right" and lose money for years. Here's a 60-second filter I use before I even look at a listing.

The 1% Rule: Monthly rent should be at least 1% of the purchase price.

$150,000 house → needs to rent for $1,500/mo minimum.

$200,000 house → needs $2,000/mo.

If it doesn't hit 1%, move on. You'll save yourself months of analysis on deals that were never going to work.

Why this works: At 1%, you'll generally cover your mortgage, taxes, insurance, and maintenance — with cash flow left over. Below 1%, you're likely subsidizing your tenant's housing out of your own pocket.

The catch: In expensive markets (LA, NYC, Bay Area), almost nothing hits 1%. That's why smart investors look at secondary markets — places like Memphis, Cleveland, Indianapolis, Birmingham. Cheaper entry points, higher rent-to-price ratios.

This is literally the first thing I teach inside First Deal Academy. If you want the full breakdown — including how to analyze a deal in under 10 minutes, where to find properties, and how to finance your first one with little money down — that's what we're building here.

Stop watching YouTube videos and hoping it clicks. Actually run the numbers.