- Joined
- May 14, 2015
- Messages
- 52
By registering with us, you'll be able to discuss, share and private message with other members of our community.
SignUp Now!Doing some research on cap rate for MFs and found this thread. I agree with you, Thomas.sold for land value and redevelopment potential not on CAP rates !
- Would you still buy the property if cash flow will be breakeven or in negative territory as a result of low cap rate despite 25% down payment? Or buy it from price appreciation or redevelopment potential?
- What would be the best strategy to recoup capital early on - do renos, increase rents as much as possible, re-appraise and refinance?
What city ? What would you pay for a car, red, 4 to 6 cyclinders, leather seats ?- What cap rate do most of you use to quickly analyze if MF is a good buy or not?
build out a very strong IRR calculation that looks at the analysis from a cash in to cash out perspective
to hit +15% IRR you have basically 2 strategies
Excellent advice. Will adopt them.here are a few of my bellweathers
Initially sounded this but seller was unperturbed.6% cap rate if pretty .. if ugly deduct 125-150% of repair cost of all items from pristine price. Seller may, or may not accept that.