What exactly is a Cap Rate, and why is it so important to have this knowledge when evaluating a real estate investment?
In today’s episode, we will be taking the complexity out of Cap Rates. By the end, you’re going to understand how cap rates work, why it works that way, and how to utilize the perks that come with cap rates fully.
Tweetable Quotes:
“We’re so used to thinking when we see the word ‘rates’ like rate of return. They think bigger is better, higher is better, but when you’re buying something, you actually want the cap rate to be pretty high. Once you own it, and in the future, you’d like to see that cap rate come down so that the market is willing to accept a lower rate of return on the asset.” – Dan Krueger
“I would not get too hung up on saying, ‘I’m buying at this cap rate or that cap rate.’ There’s money to be made at 3-cap, there’s money to be made at a 10-cap. If that’s one of your defining metrics, you’re looking at it through the wrong lens.” – Anthony Vicino
Resources Mentioned:
LEAVE A REVIEW if you liked this episode!!
Keep up with the podcast! Follow us on Apple, Stitcher, Google, and other podcast streaming platforms.
To learn more, visit us at: https://www.invictusmultifamily.com
Want to learn more about investing with us?
We’d love to learn more about you and your investment goals. Please fill out this form and let’s schedule a call: https://www.invictusmultifamily.com contact/
Let’s Connect On Social Media!
LinkedIn: https://www.linkedin.com/company/11681388/admin/
Facebook: https://www.facebook.com/invictuscapitalventures/
YouTube: https://bit.ly/2Lc0ctX
Review contest, through March