North Jersey Avg Cap Rate

[Boris Portnov]

Hello BP Community! 

    I was wondering if anyone can share what the Avg market cap rate for Bergen County NJ multifamily homes.  Are there different rates for suburban neighborhoods as opposed cities. I'm analyzing a deal currently and the deal cash flows well but the cap rate is under 5%. The asking price is $500k.

   The seller has been gracious enough to offer seller financing as a second mortgage so I would only have to put down 10%. However, I feel the asking price may be above market Value. Any insight on cap rates would be appreciated.