Re: apartment - Posted by Patrick S. Lawson
Posted by Patrick S. Lawson on October 21, 2005 at 16:08:19:
Sorry. I was speed reading your post. As far a return on investment goes…That’s your call. Most people will not even consider a deal unless it is a “10 CAP” (10% capitalization rate). Looks like your property has a Cap rate of 5.5… That’s two-percent above inflation…regardless of financing.
“Is there something creative I may be missing or is this just too pricey unless you can put down a large sum of money?” You could pay for the property ALL CASH and would still be better off putting your money into a money market account.
Just my $0.02