How We Score Deals
Every property on RealixData gets a deal score. Here's exactly what goes into it — no black boxes, no mystery math.
Deal Score
A composite score that rates how good a property is as a rental investment. Higher is better.
Cash Flow
Monthly income after all expenses (mortgage, taxes, insurance, maintenance). Positive cash flow = income-producing property.
Cap Rate
Annual net operating income divided by purchase price. Above 5% is generally good; above 8% is excellent.
1% Rule
Monthly rent should be at least 1% of the purchase price. Properties meeting this rule tend to cash flow well.
Price-to-Rent Ratio
Lower ratios mean better rental returns. Under 15 is favorable for investors.
Market Conditions
Local market trends: price appreciation, inventory levels, days on market. Hot markets get a boost.
Property Condition
Age, estimated repair costs, and property type. Newer properties with lower repair needs score higher.
Cash Flow
What it is: The money left over each month after collecting rent and paying all expenses (mortgage, taxes, insurance, maintenance, vacancy).
Cash Flow = Rent - Mortgage - Taxes - Insurance - Maintenance - Vacancy - Property Management
Why it matters: Positive cash flow means the property pays you every month. Negative cash flow means you're paying out of pocket. We weight this heavily (30%) in the Deal Score.
Cap Rate (Capitalization Rate)
What it is: The annual return you'd earn if you paid all cash (no mortgage). It measures the property's intrinsic return.
Cap Rate = (Annual Rent - Annual Expenses) / Property Price × 100
Why it matters: Higher cap rate = higher return. Most investors look for 6%+ in stable markets, 8%+ in growth markets. Below 5% is usually too thin.
1% Rule
What it is: A quick screening rule. If monthly rent is at least 1% of the purchase price, the deal is worth analyzing further.
Passes if: Monthly Rent ≥ Purchase Price × 0.01
Example: $200,000 property should rent for at least $2,000/month
Why it matters: It's a fast filter. Properties that fail the 1% rule rarely cash flow well. But passing doesn't guarantee a good deal — it just means it's worth deeper analysis.
Rent Estimate
What it is: The projected monthly rent based on comparable properties in the area, adjusted for bedrooms, bathrooms, square footage, and condition.
We pull rent estimates from multiple data sources including Zillow's Rent Zestimate, comparable rental listings, and market averages.
Why it matters: Everything flows from the rent estimate. If it's wrong, all the analysis is wrong. That's why we let you edit assumptions to match your research.
Mortgage Payment
What it is: Your monthly principal and interest payment, calculated based on purchase price, down payment, interest rate, and loan term.
Default assumptions:
- 20% down payment
- 30-year fixed loan
- Current market interest rates (updated regularly)
Why it matters: The mortgage is usually your biggest expense. You can customize down payment and rate in the analysis to match your actual loan terms.
ROI (Cash-on-Cash Return)
What it is: The annual return on the cash you actually invest (down payment + closing costs), not the total property value.
Cash-on-Cash ROI = (Annual Cash Flow / Total Cash Invested) × 100
Example: $6,000 annual cash flow on $50,000 invested = 12% ROI
Why it matters: This tells you how hard your money is working. A 12% cash-on-cash return beats most stock market returns, and you control the asset.
BRRRR Score
What it is: A score for the Buy-Rehab-Rent-Refinance-Repeat strategy. It measures how well a property fits this value-add approach.
After-Repair Value (ARV)
Estimated value after renovation relative to purchase price. Higher spread = better BRRRR potential.
Rehab Cost Estimate
Estimated renovation costs. Lower costs relative to the value-add potential score higher.
Rent After Rehab
Expected rent increase post-renovation. Higher rent uplift = better refinance potential.
Refinance LTV
Likelihood of getting your capital back out through refinancing at 75% LTV.
Why it matters: BRRRR lets you recycle capital — buy, fix, rent, refinance out your cash, repeat. High BRRRR scores indicate properties with forced appreciation potential.
Market Score Adjustment
Additional points added or subtracted based on real-time market intelligence from MLS data.
Inventory Months
Under 3 months supply = high demand (+5). Over 6 months = oversupplied (-3).
Month-over-Month Price Change
Rising prices (+3). Declining prices (-5).
Year-over-Year Appreciation
Strong annual growth (+3). Price decline (-3).
Market Temperature
Hot market (+2). Buyer's market (-2).
Price Reductions
Over 30% of listings price-reduced indicates soft demand (-3).
See it in action
Search any property and get a full score breakdown — free.