Is it ok to assume lower interest rates in the future?

[Jeremy Melloul]

Is it ok to assume interest rates will lower in the future, not immediate future but eventually, when analyzing a potential deals CoC return. As of right now, a particular deal I'm analyzing doesn't have the best CoC return but the location and YoY growth is solid and if the interest rates drop in the coming years then the CoC return is solid. Thoughts? Im new to BP and real estate investing and Im looking to pop my first deal. Thanks!

[Bruce Woodruff]

As @Russell Brazil said, they are really pretty low right now (historically speaking). But never assume anything in this game. Back in the 70s - 80s, it took a full decade or more for rates to get 'low' again.....remember the Fed can be political, too. Can you afford to wait 10 years for your investment to make money?