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Updated almost 7 years ago on . Most recent reply

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Andrew Urbanski
  • Investor
  • Sydney, NSW
3
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9
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here are the best cap rate rentals in the USA

Andrew Urbanski
  • Investor
  • Sydney, NSW
Posted

Im looking at retirement income and want to get the most for my investment on a regular basis without too much work, so Id use a manager. Any suggestions on where I can get 10% cap or better in a reasonable area?

Most Popular Reply

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Jeff B.
  • Buy & Hold Owner
  • Redlands, CA
2,364
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Jeff B.
  • Buy & Hold Owner
  • Redlands, CA
Replied
Originally posted by @David Faulkner:

BTW, CAP rate only applies to commercial property (5+ units) ... if anybody is trying to sell you on a 1-4 unit property by telling you what the CAP rate will be, then do yourself a favor and take my advice to run for the hills because that provider either has no clue what they are talking about or is trying to scam you or both. Caveat Emptor my friend.

 Beg to differ. Math is Math and the numbers do not lie.  

The CapRate (NOI / Purchase Price) is always valid. Is it commonly applied to SFRs and 1-4 multis - - no, but the evaluation is STILL CORRECT. Both NOI and Purchase Price are B L I N D as to what kind of property is being evaluate. IMO, hard numbers (those you can verify) are never a scam.

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