@Suresh Yala cap rates have been compressed for a long time and there is a correlation between cap and interest rates...as interest rates go up, that 3.75 cap is now 4.25 depending on asset class and location.

@Ryan CurbyAll downloads of the audio books are in a compressed zip file to save the size of the download.

History may not prove the best measure as cap rates continue to compress and buying competition continues to grow.Based on my experience and looking forward, I can throw out some ball-park figures of 13-17% IRR, 7 to 8% COC%, 17 to 21% AAR, with equity multiples ranging from 1.6x to 2x, depending on the hold time.Hopefully, you will continue to gain a sample size here that you can combine into a spreadsheet.People shy away from providing returns.

As such, it undergoes very large compression/expansion based on how dry or saturated with water it becomes.  

Cap rate on sale - Using todays cap rate and not taking into account possible compression as a result of rising rate environment. 2.

I've seen people turn properties with mid-teen returns in a year or two, but part of that is due to cap rate compression. 

@Scott Wilson Little Rock is a good area where the price to rent ratio makes more sense.In saying that, as of late, so many investors from the East and West came in, so Cap rates compressed, and returns are lowered.

The debate might be long term appreciation and potential compression of cap rates if you pick the perfect area.

States have varying cap rate compression by remaining term left on primary lease, location with demo's, tenant credit grade rating if any, lease structure and terms, price range, asset type within NNN ( QSR, dine- in, bank, pharmacy, dollar store, auto store, medical,etc.) 

Im finding that Florida, California have super low compressed 2-4% CAP rates (at least for on-market deals).