With High Rates Does Any Cash Flow = Buy

[Matt VanGorder]

I know this can be property by property but assuming all major mechanicals are in order and a B-C neighborhood....

With interest rates being at the highest levels I can remember, if a property cash flows and brings a single digit CoC return, does that make it a buy? Hypothetically, let's say a duplex cash flows $150 after all expenses (vacancy, capEx, maintenance, etc) at a 6% CoC ROI. The rents are under market by $150/each. By raising the rent on each unit, it turns into a 10%+ ROI. When rates return, you should be able to refinance and improve the CoC return to the high 'teens or low 20's. With everyone, including most investors pulling back, is this actually a good time to buy?