Fellows, I am finding the cap rate difficult to grasp especially how it is used in the deals. What I am not clear about it whether cap rate determines the property value of property value determines the cap rateCap r...
Cap rate: 8-11% (you'll see in a minute)All cash deal. Price is firm. Duplex, currently 100% occupied. To leave out the boring parts, I have run through the numbers and I come up with a NOI of 10k/year. With a mixture...
I am looking at shifting from SFR into multi fam and know the way they are valued is obviously different. When valuing the multi fam I have an easy time arriving at the cap rate with the provided numbers. A few proper...
How do I price out a mobile home park? I know that NOI/Cap rate= property price, but I don't know what cap rate to use. Do I use a 10 cap, do I use an 8 cap, do I use a 13 cap? I appreciate the help! Thank you.
All other things being equal, is it better to have a higher cap rate than a lower one? Is a 10% cap better than a 5%? And why?
I am looking to buy a small multi family in my area. I had this property sent to me by an agent that I am working with. He has all of the income and expenses but they haven’t determined a price yet. What would you pay...
Hello.I have a rental property that I manage.Tenant complained of sewer smell coming from the basement so I called a plumber to come out. The plumber found that a cap covering the sewer pipe was opened by boxes that ...
Hello All,Does anyone have any guidance on how new spec office construction gets valued. I read a lot about cap rates but have to think that the value is also significantly impacted by the age of it's major systems/co...
I'm currently looking at an 8-unit Multifamily property and I'm having trouble determining the best way to value the property and my offer price.
Which of the following amounts should I apply the local CAP rate to?
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Maybe someone can explain something that is confusing to me. Lately I an getting information from brokers and others that will show a current property cap rate, (lets say 5%) but it will show a proforma cap of (lets s...