[ad_1]
Every new real estate investor asks one question: How much cash flow should my rental property make?
For years, you’d hear things like “$200 per month per door” or “it has to hit the 1% rule”. But with so many of these rules outdated, we need a 2026 refresh on real estate cash flow. In today’s housing market, what is good cash flow for a rental property?
This is how much your rental properties should cash flow each month to help you reach financial freedom.
We’ll show you exactly how to calculate cash flow, the cash flow goal Dave personally sets for his portfolio, and when a property doesn’t need to cash flow based on other crucial factors. Plus, how to create your “worst case scenario” when analyzing a rental property, so even if everything goes wrong all at once, you’ll still be able to pay your mortgage, keep your rental going, and not lose sleep.
Is the cash flow you’re making enough, or are you falling behind? We’re sharing it all in this episode.
Dave:
How much cashflow should your rental actually make? Because it may sound great if a property will cashflow 200 bucks a month, but if you have to invest a hundred grand to buy that deal, that’s a bad deal. So today I’ll explain how to think about cashflow like an experienced investor, how to calculate the number correctly, how to decide what your minimum cashflow target should be. I’ll walk you through a simple deal example and explain why cash on cash return matters much more than the raw dollar amount you’re earning. And I’ll give you my take on how to adjust your cashflow analysis for the 2026 market. And I’m just going to go ahead right now and spoil this entire episode and say that my answer is 7%. I want a 7% cash on cash return by year two for any property I buy right now, but that is just my number. Yours is going to be different. And by the end of this episode, you’ll know exactly how to calculate your number. So if you want to stop guessing about IRRs and cap…
[ad_2]