How to detemine Cap Rates? - Posted by Conrad Niles

Posted by MikeW on April 19, 2005 at 17:32:58:

Net Operating Income / asking price

How to detemine Cap Rates? - Posted by Conrad Niles

Posted by Conrad Niles on April 19, 2005 at 14:26:57:

I’m selling some two rental houses and looking to buy a commercial property. Can someone tell me how the definition of CAP RATES and how they are determined?

I’m looking for a 7% or better Cap Rate and need to analyze seller info to determine for myself the truth on a $1,000,000 property.

Thank you.

Re: How to detemine Cap Rates? - Posted by ray@lcorn

Posted by ray@lcorn on April 20, 2005 at 15:23:15:

Conrad,

You should find the article at the link below to be more than you ever wanted to know about cap rates.

http://www.creonline.com/articles/art-216.html

ray