Cap rate for Minneapolis/St. Paul surrounding area

[Walter Pape]

Hi, 

I am looking to invest in multi-family homes in the MSP area. What is the CAP rate people are seeing ?

thanks,

Walter 

[Tim Swierczek]

@Walter Pape I think @LeAnn Riley explained it well.  The only thing I would add it that the Cap rate has no bearing in lending if the property is residential and has less than 5 units.  Comparable sales are the only factor lenders use, income will affect the appeal to the buyer but will not determine the value to the lender or the appraiser.