Sacramento Apartment Market
Hey everyone!
I've been constantly looking at large multifamily deals in the Sacramento county area (on loopnet) and have been noticing very low cap rates (4-8%). After expenses and debt service, cash flow is coming out to be less than $200/month per unit. Are investors actually purchasing properties with these numbers or am I missing something? I feel like the best way to invest in large multifamily might be to either purchase out of state or Brrrr off-market properties, but obviously on a much larger scale. Thanks for your input and comments!
Pat