How do you find Cap rates for markets without calling a Broker?

Multi-Family and Apartment Investing
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How do you find Cap rates for markets without calling a Broker?

Karim Karawia
Investor · San Pedro, CA · Member since 2015 · 25 posts · 10 votes

Hi,

I'm currently looking to buy properties out of state and was hoping to figure out cap rates for markets without having to call a broker every time I'm researching an area.  Is there a website or company that offers something with this information?  Or is there a way to find this out without calling brokers every time looking at a new market?  Any information or advice would be very helpful.

Best,

Karim

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Russell BrazilBusiness Member
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Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
10y

CBRE often has information on various cap rates in different markets.

http://www.cbre.us/research/2016-U-S-Reports/Pages...

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  • Account Closed
    Investor · Honolulu, HI · Member since 2013 · 3k+ posts · 1k+ votes
    10y

    Are you buying out of state commercial properties without a broker?

    0Reply
  • Russell BrazilBusiness Member
    Moderator
    Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
    10y

    CBRE often has information on various cap rates in different markets.

    http://www.cbre.us/research/2016-U-S-Reports/Pages...

    [email protected]301-893-4635Podcast Guest on Show #192
    District Invest Group546 Reviews
    WebsiteView Page
    2Reply
  • Karim Karawia
    OP
    Investor · San Pedro, CA · Member since 2015 · 25 posts · 10 votes
    10y

    @Account Closed I'm currently not.  I'm trying to pick my market first.  

    @Russell Brazil Thanks I'll look at this right now.

    0Reply
  • Account Closed
    Investor · Honolulu, HI · Member since 2013 · 3k+ posts · 1k+ votes
    10y
    Originally posted by @Karim Karawia:

    @Account Closed I'm currently not.  I'm trying to pick my market first.  

    How are you planning to use current cap rate knowledge to select a market?

    0Reply
  • Karim Karawia
    OP
    Investor · San Pedro, CA · Member since 2015 · 25 posts · 10 votes
    10y
    Originally posted by @Account Closed:
    Originally posted by @Karim Karawia:

    @Account Closed I'm currently not.  I'm trying to pick my market first.  

    How are you planning to use current cap rate knowledge to select a market?

    I'm not planning on using it to select a market in particular, but to value properties and see if potential properties are over or accurately valued in their asking price.

    0Reply
  • Account Closed
    Investor · Honolulu, HI · Member since 2013 · 3k+ posts · 1k+ votes
    10y

    Why would you care how much asking price is over sales price?  Seems like you will be doing a lot of unproductive figgering. 

    If a market is 5% cap you are paying $200,000 for $10,000 NOI. If it is a 10% market you'll pay $100,000. If the list price is 5-10% over why would care? And wouldn't it be easier to track sales and check their original asking price?

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  • Chris Tracy
    Specialist · Plainville, CT · Member since 2015 · 478 posts · 389 votes
    10y

    @Karim Karawia-  Don't be afraid of brokers.  These are the people you want to befriend, as they will most likely be the ones feeding you deals and you can learn about markets as well!

    Also, don't think too hard about markets and cap rates... dig in, get your hands dirty, and connect with the people that are down in the trenches.  Real estate is a contact sport!

    I would be more than happy to help you!

    2Reply
  • Account Closed
    Pittsburgh, PA · Member since 2010 · 123 posts · 48 votes
    10y

    What type of properties are you looking for?  I don't think it was noted anywhere.

    Depending on the type, size, and your investment objectives, you could probably eliminate a lot of markets without doing much work.

    0Reply
  • Account Closed
    Investor · Honolulu, HI · Member since 2013 · 3k+ posts · 1k+ votes
    10y
    Originally posted by @Account Closed:

    What type of properties are you looking for?  I don't think it was noted anywhere.

    Depending on the type, size, and your investment objectives, you could probably eliminate a lot of markets without doing much work.

    This is his goal,  "I'm not planning on using it to select a market in particular, but to value properties and see if potential properties are over or accurately valued in their asking price."

    How would your suggestion accomplish what you said?

    0Reply
  • Account Closed
    Pittsburgh, PA · Member since 2010 · 123 posts · 48 votes
    10y
    Originally posted by @Account Closed:
    Originally posted by @Account Closed:

    What type of properties are you looking for?  I don't think it was noted anywhere.

    Depending on the type, size, and your investment objectives, you could probably eliminate a lot of markets without doing much work.

    This is his goal,  "I'm not planning on using it to select a market in particular, but to value properties and see if potential properties are over or accurately valued in their asking price."

    How would your suggestion accomplish what you said?

     I missed what he's using the information for.  

    0Reply
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