Rental Property Calculations
Hi BP,
I've been on the market for a multi-family property for a while now and actually had a deal fall through. Since then I've been having a hard time finding anything on the MLS. Everything is over priced and rents sometimes don't even cover the mortgage, but somehow these properties still get sold. Which is really confusing. What numbers as far as cap rate and cash on cash are ppl settling with? From all the calculations I think properties average right now 4% COC. I need to get creative and figure out how to find off market deals, but in the mean time I would like to know what other ppl think are good enough numbers to make an offer on a property?
Thanks,
Nicole