Ask a broker what they sold a property for, and the answer is just as likely to be a percentage as a dollar figure. Commercial real estate lives and dies by the capitalization rate. The simple ...

Learn how the terminal capitalization rate estimates property resale value at the end of the holding period, with examples ...

When investing in multi-family real estate, understanding capitalization rate, usually referred to as CAP rate, is crucial for making informed decisions. This rate serves as a benchmark for evaluating ...

Conventional wisdom has long said: where interest rates go, cap rates soon follow. In other words, when the cost of capital is high, so too is the ratio of a property’s net operating income to its ...

Earlier this year, investors pushed out the likelihood of the Federal Reserve cutting the benchmark interest rate in June – if at all. Fundamentally, the pensiveness centered on the state of payroll ...