A Simple Numbers Cheat Sheet

The handful of numbers that decide if a rental is a good deal — explained in plain English, with friendly math you can actually follow.

A free guide from Richard Pobre · The Rich Group

Buying your first rental can feel scary because of the math. Good news: the numbers that matter are simpler than you think. Once you learn a few of them, you can size up almost any property in minutes. Let's make the math friendly. 🔑

1The one formula that runs everything

Everything starts with this simple idea: the rent coming in, minus all your costs, equals your cash flow (the money you keep each month).

Rent − Mortgage + Taxes + Insurance + HOA + Vacancy + Repairs = Your Cash Flow

If more money comes in than goes out, you have positive cash flow — a win. If more goes out than comes in, it's negative, and we keep looking. That's the whole game.

2The costs to always count

New investors often forget a few of these — and that's how a "great deal" turns into a money pit. Count them all, every time.

Mortgage — your monthly loan payment.
Property taxes — what the county charges to own the home.
Insurance — protects the property.
HOA dues — if the home is in an HOA community (many in Vegas are).
Vacancy — set aside a little for months the home sits empty between tenants.
Repairs & upkeep — things break. Save a bit each month so surprises don't hurt.

Rookie tip: Always budget for vacancy and repairs, even if the home is perfect today. A home that "cash flows" only when nothing ever goes wrong isn't really cash flowing. Plan for real life.

3The "1% Rule" — a 5-second gut check

The 1% rule is a quick way to spot a property worth a closer look. Here it is in the simplest terms:

Does the monthly rent equal about 1% of the purchase price? Example: a $300,000 home would need around $3,000/month in rent to pass.

It's not a promise — just a fast filter. If a property is close to 1%, it's worth running the full numbers. If it's way under, it may be tough to cash flow. Think of it as a first glance, not the final answer.

4"Cash-on-cash return" — made simple

This one sounds fancy, but it just answers a simple question: how hard is your cash working for you?

Cash-on-cash return = the cash you make in a year ÷ the cash you put in to buy.

Example: you put in $50,000 (down payment + closing + fix-up) and the property puts $5,000 in your pocket that year. That's $5,000 ÷ $50,000 = 10%. So your cash earned about 10% that year.

It helps you compare deals fairly. A higher percent means your money is working harder. Simple as that.

5A friendly example, start to finish

The numbers	Monthly
Rent coming in	+ $2,200
Mortgage	− $1,200
Taxes & insurance	− $350
HOA	− $50
Vacancy set-aside	− $110
Repairs set-aside	− $150
Cash flow	≈ +$340

In this friendly example, after every cost, about $340 lands in your pocket each month. These numbers are just to show the idea — real ones will be different for every property.

6Now let's run YOUR real numbers

Cheat sheets are great for learning, but the real magic is running these numbers on an actual Vegas property — with real rent, real taxes, and real HOA dues. That's where I come in.

Send me a property you're eyeing (or let me find a few), and we'll fill in every number together so you know exactly what it would do for you. No guesswork. 🙌

Want me to run the numbers with you?

Let's plug in real Vegas figures and see if a property actually pays. Free and no pressure.

Book your free numbers-crunch call →

or text me anytime: 702-619-8236

The Rich Group · Las Vegas Real Estate · Richard Pobre, REALTOR®
📞 702-619-8236 · 📅 calendly.com/richyourrealtor/consultation · 🌐 richyourrealtor.com

This guide is general education, not financial, investment, tax, or legal advice, and is not a promise of any return. All numbers and examples are for illustration only; real rents, prices, taxes, HOA dues, and costs vary by property and change over time. Talk to a licensed real estate, lending, financial, or tax professional about your specific situation before you buy.