All Topics / The Treasure Chest / 11 Sec rule

Viewing 5 posts - 1 through 5 (of 5 total)
  • Profile photo of GeeDeeGeeDee
    Member
    @geedee
    Join Date: 2003
    Post Count: 5
    August 20, 2003 - 1:23 am

    Hi everbody.
    I am new to this so bare with me.[?]
    Could anyone explain what the 11 second rule is and how it works.

    Thanks

    GeeDee

    Profile photo of aussierogueaussierogue
    Participant
    @aussierogue
    Join Date: 2003
    Post Count: 983
    August 20, 2003 - 1:36 am

    gee dee

    take yr weekly rent / 2 x 1000

    thats how much to pay for a +ve cashflow property
    according to the rule

    eg 200/2 x 1000 = 100,000

    Profile photo of powderfingerspowderfingers
    Member
    @powderfingers
    Join Date: 2003
    Post Count: 47
    August 20, 2003 - 1:38 am
    Quote:
    Hi everbody.
    I am new to this so bare with me.[?]
    Could anyone explain what the 11 second rule is and how it works.

    Thanks

    GeeDee

    Hi GeeDee
    The eleven second rule is a formula to calculate whether a property will be a positive cachflow or not.Ie. If the rent you receive covers all costs and provides an income.

    Step 1 : Ascertain the likely weekly rent.
    Step 2 : Divide the weekly rent by two.
    Step 3 : Multilply the result by 1,000.
    Step 4 : Compare the result to the asking price.

    (from Steve McKnight`s new book)
    I am new to investing myself and found this book very good reading.

    Regards
    Clint

    Profile photo of PropertyGuruPropertyGuru
    Participant
    @propertyguru
    Join Date: 2003
    Post Count: 1,502
    August 20, 2003 - 1:41 am

    Hi GeeDee,

    Check this post you will lot’s of reply there same topic.

    https://www.propertyinvesting.com/forum/topic.asp?TOPIC_ID=2557

    Amit [:)]

    Profile photo of GeeDeeGeeDee
    Member
    @geedee
    Join Date: 2003
    Post Count: 5
    August 20, 2003 - 1:44 am

    [:)]Thanks for the info guys

Viewing 5 posts - 1 through 5 (of 5 total)

The topic ‘11 Sec rule’ is closed to new replies.