Cap Rate Lancaster County PA?

5 Replies

Good day, @Matt F. ! Unfortunately, I do not have an answer for u but I, too, am curious to what that would be since I'm around that location. Also, maybe u might b able to tell me y that is important for u. Listening to the podcasts, so people have stated that cap rate is vital while others don't care at all n it doesn't affect their business at all. Also, this will bump the post back to the top so we might get answers 😄

it can be another tool to use to help evaluate potential deal and better determine a fair offer price. For example, i've read some articles that suggest taking the NOI and divide by typical cap rate in your area to help determine the properties value. some people use other methods and i am sure there are shortcomings of this approach as well but it would be interesting to see what kind of thoughts others have on using CAP rate to determine prop value.

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True indeed. There have been a few times when out of town investors have inquired about Lancaster's cap rate so they know if it's even worthy of their time. There was a guy working out of Lititz that had mentioned to a new investor a cap rate but I'm not sure if it was for lititz or for Lancaster county (can't find the post and don't remember his name). Hopefully, he pops back up lol