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Updated about 5 years ago on . Most recent reply

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16
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7
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Rosa Esquivel
  • Investor
  • El Cerrito, CA
7
Votes |
16
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Compressing Cap Rates

Rosa Esquivel
  • Investor
  • El Cerrito, CA
Posted

I feel like the returns on single family renting are decreasing.  I wonder if they will ever come up.  I've seen  single family new construction homes in Florida and Texas in less than 15 days.  It seems that everyone else has more money than me.  Is it average to get 5% cash on cash return on new construction?  And is this number going to get smaller in 2020?  Just wondering what is going with the market.  Wish that I had more money to invest.  

Most Popular Reply

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17,446
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30,118
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Russell Brazil
  • Real Estate Agent
  • Washington, D.C.
30,118
Votes |
17,446
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Russell Brazil
  • Real Estate Agent
  • Washington, D.C.
ModeratorReplied

Yields on every type of investment, real estate, bonds, stock dividends have been compressing for a decade.  Thats a function of a hot economy and low interest rates.  

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