Jesse Daconta
Brokers and Cap Rates?
Hey guys,When you're talking to a broker how do you know the broker isn't falsely making the cap rate a little lower than what the market is paying?V/r,Jesse
Frantzces Lys
Pulling Comparables on Multi-Units
Hi Everyone,I've been doing a bit of a research but I thought I would pose the question out to the BP community :).I am meeting with a Seller this weekend that has a multi-unit property that he is wanting to sell. I h...
Jason Brattner
Cash on cash ROI vs Cap Rate
Can anyone say what weighs more heavily on decision making for purchasing a rental property? Looking at a 2 family student rental in upstate NY. 6 tenants. ROI is 26.8%. Purchase cap rate is 11.42%... where does Mic...
Bill Plymouth
Pricing Multi Family Properties
Hey everyone. I'm new real estate agent that is looking to specialize in working with investors. My goal is to work mostly with multi-family properties. From what I understand, these properties are priced different...
AJ Smith
Cap rates, NOI, and desirability
🤓 As a real estate investor, understanding the relationship between cap rates, Net Operating Income (NOI), interest rates, and the desirability of multifamily real estate deals is crucial.
🤑 Cap rates determine the v...
Naaman Newbold
Finding Cap Rates in a new Market
Hi All,We're taking a look at some deals in a new market and we're not familiar with typical numbers like cap rates in the area, appreciation forecasts, etc. Are there any resources out there for finding some baseline...
Stefanie Campbell
Appraising 4 Units - Cap Rates
When dealing with an appraisal on a 4-unit, that you feel has been significantly undervalued based off the comps the appraiser pulled. What is the best way to challenge the appraisal? I'm assuming by using the cap rat...
Kim Hopkins
Mathematical Connection Between Debt Terms & Cash on Cash Return
After over a decade of doing this, I still don't understand how the debt terms directly affect the Cash on Cash return of a deal. For simplicity, define CAP Rate (:= NOI/Purchase Price) and COC (:= Cash Flow/Total Cas...
David Kuhlke
What's a good cap rate for an 11 unit apartment in the Midwest?
Hello BP,I'm looking at a deal, and I need help determining what qualifies as a "good" cap rate for small apartments in the Midwest.Here are the details:11 unit apartmentAsking price: $1.4 millionMonthly rent total: $...
Tab Teehee
Cap rate in laymen's terms
When looking at multifamily properties for sale, it's typical to see an advertised cap rate. Where does this cap rate come from! Who determines what it should be? As an owner myself, I know what my NOI is and I could ...