What's the 1% rule? If the rental income of an offer is less than one percent of the purchase price, it is not worth considering. This is what the 1% rule states. When you are buying a property, always look for a deal with a great rental margin.

But if you are getting 1% rental income on your purchase price, then it is a great deal.

For example, if you buy a PKR 1 crore property and you get its rental income of PKR 1 Lac per month, then it means you get a great deal. So, you should grab this deal immediately. 

But remember to check all the details do not rush. 

You should conduct due diligence before signing off the deal. This means verifying whether or not it is approved by an authority, checking if there are anonymously committed frauds with a property before or not, and other fundamentals.

This 1% deal gives you two benefits:

1. You get a good rental income
2. You get a good appreciation  

Investing in property is an excellent way to make money, but it's important that you do your research first and find projects with high rental income.