From: Nona 
Newsgroups: misc.invest.real-estate
Subject: Re: general 'rule of thumb' for rental house/rental rate per month?
Date: Wed, 20 Jul 2005 06:02:16 GMT

On Wed, 20 Jul 2005 01:59:00 GMT, "Don"  wrote:

>I bought a condo in California in 1990 and sold it last month for three 
>times what I paid for it. (I am crying because of all that capital gains tax 
>I owe.) During the 15 year period the rent barely met expenses and in the 
>early years was less than expenses. Not once during the 15 years did the 
>rent ever equal that magic 1% rule. So I guess you can say rules have 
>exceptions, especially in California. 
>
Because of the high price of homes in California, especially in Bay
Area, there is no way you can get 1%. Many homes are more than 1 Mil.