Help Me Understand How To Gauge Cap Rate

[Brandon Pearl]

Hey guys, I am relatively new to the game when it comes to REI and I am currently practicing analyzing deals but I could use some guidance when it comes to understanding what a good cap rate is. I understand that Cap Rate is the rate of return an investor can expect from their real estate properties, calculated by dividing the income by the market value, but what is a minimum I should be looking for? I like how Brandon Turner explains CoC ROI as a base hit (8%) and a homerun (12+%)...does this also apply to Cap Rate?