Cap Rates In SE Michigan

Hi,

has anyone had any experience with apartments in southeastern Michigan? I ask because in my research I have found that the going Cap rate is only at around 7.5%! with that rate I cant make ANY money if I go with conventional financing! WTF? this just doesnt seem right. That figure came from a market analysis conducted by Signature Associates, and I think it may be for REIT owned properties... in that cse, could the cap rates for smaller, privately owned apartments be closer to the 9-10% most investors look for?

thanks,

-Newbie-

Comments(0)

Add Comment

Login To Comment