Multi-family Bubble?
I just appraised a 48 unit, 6 story building constructed in 1965. It is located in a nice suburb of Boston but not premier location. Value based on current market data: $185,000 per unit, 11 PGIM, 5.5% cap rate.
Is this sustainable? Will multi-family have a major correction when mortgage rates go up and new supply comes online?
Makes me nervous.