Cash Flow Real Estate Investing

Michigan Real Estate Investing TV: Cap Rate Ray and Ignoring ROI

I love cap rates – they’re a great way to screen multi-family buildings when you’re trying to narrow down your list. They’re also good for using as a frame of reference. For example, I talked to an apartment buyer in Southern California last week and told him we’re looking at cap rates in the 9-11% range here, while they’re in the 4-5% range there. But where they aren’t useful at all is in the actual…

Continue Reading

Landlording

CasMichigan Real Estate Investing TV: It’s ZERO Risk and 100% Occupied!

In normal markets risk and reward are in an unbreakable relationship. You want higher returns? Then you take higher risk. But the real estate market here in metro Detroit is not a normal market – external factors are acting upon it. And that has put the risk-reward relationship out of whack here – such that you CAN get higher returns without taking on more risk. IF you know where to look. What are you doing…

Continue Reading