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Updated about 5 years ago, 12/04/2019
How do I Increase the Cap Rate?
I'm doing some trial numbers on an excel spreadsheet just trying to see how a potential deal would look numbers-wise. Everything is making sense except for the cap rate. It's at 0% and all of the expenses are included at a fair amount, income is 1% of the purchase price to be fair. I just simply am not able to make this deal make any sense unless I blatantly mess us the numbers. I'm aware that you should decrease expenses and raise income, but I do not see any way of getting this to budge. Is there something I missing? Are my expenses too high? I've attached a picture so you guys can see what I see. Thanks in advance everyone!