Updated over 4 years ago on . Most recent reply
Cap rates in certain areas
Anyone have a way to look up cap rates in a certain area? I'm trying to get an evaluation on the property I want to purchase and can't find how to look up cap rates in my local area. Thanks in advance everyone!
Most Popular Reply
As others have mentioned Costar and CBRE are good sources.
High level broad brush, average cap rates across the US for apartments are approximately 5%. In dynamic highly sought after top tier markets - Phoenix, Dallas Ft Worth, Austin, Atlanta, I am seeing deals trade below 4% cap rates. In small smaller “slower” lower growth towns outside metro areas, you might see 7% cap rates.
In my local market, Greenville SC which is booming but certainly a tertiary market, cap rates are in the 5% range.