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Cap Rates in Real Estate Explained
Manage episode 244556305 series 2486728
Unsophisticated investors buy off cap rates. I don't really look at cap rates when I am purchasing because it is usually manipulated. If the seller or broker leaves out an expense or over counts revenue it greatly distorts the cap. Therefore it is a bad data point. I normally look at the Profit and Loss statement cause that is where you can drill in line by line.
https://youtu.be/MnTzXB8hnbo
Hosted on Acast. See acast.com/privacy for more information.
428 episodes
Manage episode 244556305 series 2486728
Unsophisticated investors buy off cap rates. I don't really look at cap rates when I am purchasing because it is usually manipulated. If the seller or broker leaves out an expense or over counts revenue it greatly distorts the cap. Therefore it is a bad data point. I normally look at the Profit and Loss statement cause that is where you can drill in line by line.
https://youtu.be/MnTzXB8hnbo
Hosted on Acast. See acast.com/privacy for more information.
428 episodes
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