Investor · Columbus, GA · Member since 2014 · 2k+ posts · 1k+ votes
9y
Depends on the City, State, surrounding area of town, condition of the property, etc. There is no set cap rate. Some markets are seeing 4.5 Cap and others will never see it that low.
Rental Property Investor · St. Paul, MN · Member since 2016 · 3k+ posts · 3k+ votes
9y
As @Anthony Dooley mentioned it depends on the market and property. If you are in a B area with a B condition property the will appraise it at the market for other like kind properties. Have the realtor pull the comps to determine cap, ask a property manager, run a CoStar report.
As @Anthony Dooley mentioned it depends on the market and property. If you are in a B area with a B condition property the will appraise it at the market for other like kind properties. Have the realtor pull the comps to determine cap, ask a property manager, run a CoStar report.
Thanks for replying.
CoStar looks like is a paid service. What are they charging, and what services do they provide?
Rental Property Investor · Philadelphia, PA · Member since 2015 · 213 posts · 160 votes
9y
As a bank we look at market transactions to determine an appropriate cap rate. We utilize appraisals and co-star to pull this data, but I'd bet some local commercial brokers could help you out. Just make sure the properties are somewhat similar and the transactions have occurred within a reasonable time frame (less than a year maybe).
I've never heard of Airmont, NY (no offense) so if I had to guess it'd be like 9%?? Just a ballpark figure.
As a bank we look at market transactions to determine an appropriate cap rate. We utilize appraisals and co-star to pull this data, but I'd bet some local commercial brokers could help you out. Just make sure the properties are somewhat similar and the transactions have occurred within a reasonable time frame (less than a year maybe).
I've never heard of Airmont, NY (no offense) so if I had to guess it'd be like 9%?? Just a ballpark figure.
Airmont is 30 min from mahattan and its 99% single family houses, and the avrage cap rates are way less the 9% more like 4-6%
The property that im asking about is in hudson county, northern nj.
Rental Property Investor · St. Paul, MN · Member since 2016 · 3k+ posts · 3k+ votes
9y
yes costar is a paid service. I do not subscribe to it so I'm not sure the price, but it is very steep. The best is to ask a broker for the costar report for that specific property. If your broker does not subscribe to costar you may be able to ask some of the bigger brokerages and pay them a fee.