My first deal was a 7 plex for $703k in KS MO.Just focus on only 1-2 areas and start calling brokers on loopnet.They find a cap of over 8% and 10 % cash on cash return.

I haven't visited the building yet, but I have basic info for initial analysis: - (8) 2 bd rm units- Purchase Price - $115,000- Potential Gross Rent - $4000 (Units renting at $500)- Old building, but supposedly new elec, plumbing, and windows- I built out a Pro Forma for the property, which brought me to 60% expenses and a Cap Rate of 11.8%A couple questions:1.

A couple things I've used successfully in the past are putting a cap on repairs.

Yes, that’s correct with the caveat that things can go down as well as up :) it is also possible to get commercial loans without a balloon or with a looong term balloon like 20 years with an interest rate reset at certain times such as every 5 or 7 years Sometimes there is a cap on the adjustment or total rate and almost always the current rate is the floor.

Some want to spend $200k to $800k on a 80-100 unit building with a cap rate of 8-9%, they do NOT want to accept vouchers, and they do NOT want to use much money for rehab...

Its extended cab the year where the trucks had the suicide doors for the extended cab with an 8 foot bed with a cap on the bed and the large 5.4 Triton engine.

You can create a cap rate for one, but it's a wild guess when the information to determine your expenses is much more evident than with a commercial multi-family.There's so much information on BP.

We like to see a cash on cash of 12%+, debt coverage ratio of 1.6%+ and a CAP of 8%+I have a case study where Dave took a 100 unit property from Loopnet and showed how he would evaluate it and what he would pay for it.

Check if they have a cap on the number of units that can be non-owner occupied in the community.

Or, they could put a cap on the number of rentals allowed in the development.