I saw a listing for a 15-unit apartment building that is for sale and the property has a 5.3 cap rate, this isn't the issue.The issue is in the listing description the agent said the building could have rent growth potential based on the rising rent prices in the area which she said would bring the property to a 6.6 capNow my question is why would I buy a property for 2.5 million when with this new expected cap rate the property would tank to just under 2 millionNOI is roughly 132,000 and most units are in pretty good shapeAnother note is the average cap rate in the area the property is located in is a 6.4 cap

Purchased for kids future/college fund (maybe relevant maybe not) Mortgage rate is 4.4% currently paying $1149 a month (including taxes/Insurance)Currently rents for $1550 (room for upping rent to $1600+)In the 2 years Ive had it, Ive added a roof(insurance claim),new windows, new bathroom, plumbing.

HI Zeek,The good thing about investing in the US is that you can have a fixed loan rate for 30years which is not common in SE Asia or other countries.

The “hype” hasn't even started yet (Kobeissi).Today’s Interest Rate: 7.16%(☝️ .02% from this time last week, 30-yr mortgage)Mortgage Rate UpdateMortgage rates are slightly higher again this week, to 7.16%.

-Cash out Refi with a private lender who has higher rates/fees-One of my friends buys a property in the name of his LLC, rehabs it, then sells it to his spouse.

If the building is evaluated at a conservative 10% CAP Rate, the value of the building is increased by $45,000.We’ve found this to be more readily accepted by our residents than simply charging a flat utility fee because it gives the resident more control of their costs.

Went home plugged in a purchase price of $1,250,000 ($625k for each duplex) then 10% down with a 3.5% interest rate to get him his $5k a month.He told me a 10% DP wasn't enough, didn't like the purchase price and asked If I was serious with a 3.5% interest. 

While I haven't had the opportunity to work with hedge funds, I do remember it being a thing back when rates were at 3%.

It would be more expensive rate wise not closing wise to get a higher interest loan for the 12-18 months while waiting for the permits, also depending on the term of the loan.

Just playing devil's advocate - if you do manage to get 80% of 185k, would the property still cash flow with current rates on DSCR loans?