Investment Scoring Algo

Our custom scoring algorithm helps you evaluate investment potential at a glance. Here’s how it works.

The Cribz Investment Score

• Score Range: 0.0 – 10.0
• Ideal Score: 7.0 and above
• Score Summary: Higher is better. We use proven investment metrics and location trends to evaluate the property’s potential return.

📊 Metrics We Evaluate

We apply different rules based on the type of asset. Here’s how we score each category:

🏠 Residential (Single Family)

• ✅ 1% Rule — Monthly rent ≈ 1% of purchase price
• ✅ Cap Rate — Return on investment based on NOI
• ✅ GRM — Gross Rent Multiplier (purchase price ÷ annual rent)
• ✅ Market Activity — Days on Market (DOM) vs. local average
• 🚫 DSCR — Not typically used for single-family homes

🏢 Multifamily

• ✅ Cap Rate
• ✅ DSCR — Debt Service Coverage Ratio
• ✅ GRM
• ✅ Market Activity (DOM)
• ⚠️ 1% Rule — May apply for smaller multifamily units

🏬 Commercial

• ✅ Cap Rate
• ✅ DSCR
• ✅ GRM
• ✅ Market Activity (DOM)
• 🚫 1% Rule — Not used in commercial scoring

🧮 Example Score Breakdown

Sample Property:
💵 Price: $500,000
📍 Location: Franklin, TN
🏡 Type: Residential
📈 Monthly Rent Estimate: $3,100

CRIBZ Score: 9.7 / 10

• ✅ 1% Rule: Pass (3.1% of price)
• ✅ Cap Rate: Excellent (7.8%)
• 🚫 GRM Penalty: Low (8.2 GRM, minor deduction)
• 🔥 DOM: 12 days vs. local avg. 42 (adds to score)

✍️ Our Philosophy

We believe transparency builds trust. That’s why every investment score includes:

• ✅ A plain-English breakdown of score components
• ✅ Visual insights into rentability & ROI
• ✅ Smart adjustments based on local and national trends

🙋‍♂️ Have Questions?

Chat with a Cribz advisor or reach out anytime. We’re always improving our tools based on investor feedback. 🚀