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Updated almost 7 years ago on . Most recent reply

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19
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2
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Levi Lewis
  • San Diego, CA
2
Votes |
19
Posts

Figuring out Cap Rate

Levi Lewis
  • San Diego, CA
Posted

I have a question. When dividing cash flow from property cost to find the cap rate on a property, do we factor in only out of pocket spent or total cost including the loan. Practicing for now on the in laws new property, they purchased a house with a friend loan, but will spend about 10k O.O.P on rehabs. Thanks in advance!

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