After moving back to the USA from Japan in 2012, I started a new job in Alabama. I met a fellow military member who shared my passion for real estate. Meeting him had a profound effect on my life financially.
What he did with real estate is exactly what I wanted to do.
And he was wildly successful.
When I met him, he had been living there for two years. In that time, he purchased four houses with cash, remodeled them mostly on his own, and rented them out providing substantial cash flow each month (especially without a mortgage!)
He bought in the range of $25-35k, putting a few thousand and sweat equity into them, then renting them out for around $750 a month. The numbers were REALLY working for him.
If you apply the 1% rule to these properties, a house that totaled $40k in cost to rent out should pull in $40o to be “worth it.”
These were almost double that.