Welcome back to Espressold — where real estate meets real life (with coffee in hand ). In this episode, Annie and Paula break down exactly how to analyze cash flow on a rental property, especially in Calgary and across Alberta’s fast-shifting market.
Whether you're eyeing a duplex in Airdrie or a downtown condo, knowing your numbers is non-negotiable. This episode offers a practical, six-step framework to make sure your next investment actually makes sense — not just on paper, but in real life.
What You’ll Learn in This Episode:
Step 1: Start With Gross Rent
How to find realistic rent numbers using tools like Rentfaster, Facebook Marketplace, and PadMapper — without falling into the “top of the market” trap.
Step 2: Subtract Fixed Expenses
Mortgage, taxes, insurance, condo fees, and utilities — we outline everything to include in your base calculations.
Step 3: Account for Hidden Costs
Vacancy, maintenance, and property management can eat into your profit fast. Learn our rule-of-thumb percentages to budget properly.
Step 4: Use the 5% Rule™
Annie’s go-to method to quickly test a property’s sustainability — if your monthly cash flow isn’t 5% of the purchase price, it might not be worth it.
Step 5: Run Stress Test Scenarios
What happens when the market shifts or your rate rises? We walk you through the “what ifs” that smart investors prepare for.
Step 6: Think Local – Alberta-Specific Insights
Why Calgary’s landlord-friendly laws and seasonal rent swings matter — and how to keep your expectations grounded in reality.
