How can I find the cap rate for an area?

[Lori Marra]

I'm thinking about selling one of my properties on my own and I'm not a real estate agent. How can I find the cap rate for my area? Is there a way for me to get comps and figure it out for myself? I'm finding it impossible to find the area cap rate without being a real estate agent. I know my NOI and have set a price with a cap rate, but I'd really like to know what the cap rate for my zip code/area is on this rental. Thanks in advance for any help.

Lori

[Bill Gulley]

Lori, really not possible, a market cap rate is only used by an appraiser as a rate generally accepted by other investors, which is nothing more than an educated guess of an opinion as actual cap rates are historic and only applicable to each unique investor. The only reason appraisers must go there isv to estimate the income approach used with the market and cost approach to value. 

You cap rate will never be the same as a new buyer's cap rate. 

Your actual cap rate is an indication of what others may accept, how happy were you with your earnings? If you weren't happy, might consider a lower price. 

Generally, look to the market of other sales, in some areas these are reported for tax purposes. It shouldn't be hard to find a Realtor to provide certain services for a small fee. 

Don't price your property to any cap rate alone. Good luck :)