The 100/10/3/1 Rule in Real Estate Investing

There are many real estate investors who subscribe to the 100:10:3:1 rule, or at least some form or variation of it. This is because it is an effective method to use when looking to gain a profit in REI. The loss of only a few real estate deals can cost you big bucks in profit, as such it is important to scout out any investment opportunities and analyze them thoroughly. 

When it comes to the 100:10:3:1 rule an investor will end up looking at a large amount of properties, considering a smaller amount, putting an offer in on an even lesser amount and finally accepting 1/100 deals that best match what they are looking for. 

An investor must look at 100 properties to find 10 potential deals that can be profitable. From these 10 potential deals an investor will find it suitable to submit offers on 3 of them. Of the 3 offers submitted, only 1 of them will be accepted and this will be the property that is purchased. This is often a property that can turn the highest profits with the lowest amount of input on the investors end. Finding a suitable investment property opportunity is a very time-consuming process, but the effort is absolutely necessary to find the right property that will produce a solid return.

For more fast facts, quick tips and tricks for REI check out CADMEN Properties and begin your real estate investment training and journey today.