All Forum Posts by: Ryan Gravel

@Cal Dunagan no just looking predominately for cash flow however I am investing in MF with value add as well.

Hey BP´s!! I wanted to hear from everyone what your choice metrics you use to calculate and determine a great real estate investment (Particularly 4 + Unit MF) CAP rate, ROI, IRR, Rent/Price Ratio, Cash on Cash Return, 50% rule, 70% rule?

I am up in the air about subscribing to either BiggerPocket Insights or Mashvisor. Has anyone had any experience with both and which was more useful? My main objective with these programs is to narrow down my location search (City and State), find and evaluate (MF MultiFamily) deals from abroad.  

@Lien Vuong Lien Vuong thanks for youre reply Lien. I see that you are an agent in Boston area. Do you have anything on the market a few 4 unit MF or 16 -20 unit MF?

@Luan Oliveira looking for pure cash flow - appreciation is always a plus. I’m not opposed to under valued proliferation areas based off of projection. What are you doing in Prov?

@Alex Uman thank you my friend

@Alex Uman Love CT as well I used to race in Putnam. I’m not opposed to Philly either as I am also familiar with the NY NJ and Philly areas. Any specific towns that jump out at you in the outskirts of Boston or Philly for multi family. (A or B CLASS?)

I currently live in Playa del Carmen, Mexico and am cashing out my portfolio here to invest in Multi-family in the US. I am originally from Rhode Island (our market is horrible) however I know the New England area well. Looking to acquire Multi family (2-4 unit residential or 10-20 Unit commercial) somewhere in New England, are there any emerging markets in the area that you are seeing affordable prices, high growth rate, affordable taxes, stable rent rates with room for growth, pop growth and Owner friendly ?  I would like to start my search in this area as I am most familiar with the lay of the land and I have access to the Core 4. Anyone having success in the multifamily sector ?

@Anthony Thompson thanks for your response and your reply makes perfect sense to me. I guess what I am finding is more related to risk. In theory, a higher cap rate means a higher risk investment. A lower cap rate means an investment is less risky. This is where I’m thrown off ...

Hello real estate family, I have done commercial real estate and landing banking in Mexico (Riviera Maya) for 12 years and now I am getting ready to move my portfolio to the US (I´m from Rhode Island originally) into Multi Family. It is a cash market here in Mexico so I am new to traditional lending / leverage and some of the rules of thumb hence CAP rate ...

I am left confused as to why a lower CAP rate is better than a higher CAP rate. I understand that there may be more room for growth (larger margins due to increased rents and appreciation on lower valued property) but thats it. Essentially, if your CAP rate is HIGHER then your NOI is higher which in turn means you are receiving a higher percentage of net cash flow annually. Why would a lower CAP rate be better when you are receiving a less profit annually?

So if a CAP rate helps indicate the rate of return that investors can expect to generate on an investment property why would the lower the rate of return be better?