Expected CAP rate for Residential Properties?

[Shawn Clark]

I've got a client that might want to sell a house with three units in Baltimore. Total rent $1,850. They want to sell it occupied.

What kind of price, based on income alone, is typical? Will people pay $185,000 for that?

I realize some people are looking for rent that is 2% of price/cost, but I've always thought if you could get 1% in a decent area you were doing pretty well.

What say you?