Updated over 7 years ago on . Most recent reply
what is a good cap rate?
Hey!
What is a really good, decent, and bad cap rate for multifamily deals, and does this number play an important role in the analysis of a deal?
Most Popular Reply
Lower caps aren’t a bad thing unless the market has no projected growth. Comparing cap rates in different markets or sub markets is a fools errand. I’d buy a 5 cap value add deal any day of the week in a growing market with the prospect of jobs over a 12 cap in a depressed area.