How a Landlord Uses the 3 Percent Rule to Vet Rentals

In Episode 161 of The Real Estate Investing Podcast, Lucas and Luna drill into the 3 percent rule—a stricter cash-flow filter than the classic 1 percent rule. They unpack why it works in high-price, low-yield markets like coastal cities, walk through a concrete example with a $400,000 duplex, and show how the rule flags hidden expenses and dead-end deals. They also discuss when the 3 percent rule is overkill, how to use it as a deal-screening tool rather than a hard gate, and why it pairs well with the 1 percent rule for different market conditions. If you're a landlord frustrated by thin margins, this episode gives you a sharper lens for vetting rental properties. #RealEstateInvesting #RentalProperties #CashFlow #Landlord #3PercentRule #1PercentRule #Duplex #PropertyMath #DealAnalysis #RealEstateWealth #Finance #Business #FexingoBusiness #BusinessPodcast #RealEstatePodcast #RentalIncome #InvestingInRealEstate #SmartInvesting Keep every episode free: buymeacoffee.com/fexingo