Understanding CAP Rates
Understanding CAP rates, ROI and GRM (this section is math heavy)A multi-unit property’s value is in large part due to how profitable it is. How profitable a property is, relevant to its cost, is called the “capitalization rate” or the CAP rate. CAP rates are the net annual profit a property yields using the following formula:Collected monthly […]
400 E. North St. Benicia
SOLD $566,000
2 Beds | 2 baths | 1,140 sq.ft.
Housing Price Trends
Updated 04/04/23 This newsletter is updated as the economy and situations change. Housing prices just went up a little this past month but are still down 10% – 12% (+/-) from their peak last May depending on the desirability of the home and neighborhood. Escalating interest rates have caused housing payments to rise near 30% (PITI). If […]
Interest Rate Trends
Updated 03/28/2023 There are some financial indicators suggesting rates might come down a little later in the year. The same home today will have a 30% higher monthly payment (PITI) compared to a year ago. For now, the roughly 150% rise in interest rates over the last 12 […]
Rental Value Trends
Updated 09/27/22 This newsletter is updated as the economy and situations change. CLICK FREE Rental Analysis BELOW TO IMMEDIATELY GET YOUR HOME’S RENTAL VALUE “When people can no longer afford to buy a home, the price of rent goes up.” It is likely rents will increase in the coming year because high interest rates have driven […]