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Updated almost 8 years ago,
When Cap Rates go from 10 to 5 you ?
1.) Keep what you have and buy into a 10cap area you see potential in ?
2.) Buy another rental in the same 5 cap area? (That once was a 10 cap)
3.) Sell all your properties in the 5 cap area and buy in the 10 cap area
Note: talking multi families/condos buildings only. What I have is 2 Boston fenway Condos and one multi in Cambridge. All went up like mad... rents&appreciation.