Cap Rates in Worcester, Ma

[Mike Levins]

Good afternoon BP forum!!  I'm eager to learn from you yet again.

In trying to evaluate local multifamily properties in the central Massachusetts area.  I have created a spreadsheet that helps me analyze each opportunity that I come across and a question around Cap rate has come up.

From what I've heard on the podcasts and read on the forums different areas along with different grades of RE (A, B, C etc) will produce different cap rates.  Are there general ranges of Cap rates that are considered good deals?  i.e. Grade A duplex in Northborough, Ma Cap rates should be between 4-6% while a Grade C duplex in Worcester, Ma Cap rates should be between 7-10%?

I'm currently looking at duplexes along with 3 and 4 family properties.  Any guidance on desirable Cap Rate ranges would be greatly appreciated.

Thanks,

Mike