Average CAP Rate These Days?
I have a investor who is trying to sell a couple of group homes that are leased to a large non-profit on 5 year leases. I have bought a couple of them already and have had good luck with them but believe given the current market, I need to evaluate the deals.
They always pay ontime, they have their own property manager / handiman. All I do is pay my mortgage, taxes and insurance.
What are cap rates in the current market??
I could understand that with an RV Park. There is somebody trying to put on in near where I live and they are running into hurdle after hurdle.
I thought 9-10% was always the starting point for professional investors, but thought with financing being more difficult 12% may becoming the norm.