Investors who are looking to expand their footprint in the SFR space may want to look in one of the markets that has the highest cap rate. Where are those markets located?
Sourced through Scoop.it from: www.dsnews.com
Brave California Investors!
Cap Rate Defined:
“The capitalization rate, often just called the cap rate, is the ratio of Net Operating Income (NOI) to property asset value. So, for example, if a property was listed for $1,000,000 and generated an NOI of $100,000, then the cap rate would be $100,000/$1,000,000, or 10%.”