Capitalization Rates and How They Work
A capitalization rate is a measure commonly used in real estate investment especially in the acquisition of income properties The rate measures return on investment and allows the investor to compare various forms of investment in order to decide where he is going to put his money

Buying Self Storage Properties in 2009
The self storage industry like other commercial real estate markets’ is experiencing the beginning of a downward cycle in value and occupancy. The runaway ever decreasing capitalization rates of a few years ago has ground completely to a halt. These ridiculous values and low returns were fueled by cheap and easy credit, which is certainly gone. We are now back to the days where lenders actually want a property to be stabilized, before lending on the property. So CAP (capitalization rate – NOI/Price) rates have escalated dramatically in the last year and will continue to escalate. Today’s CAP rates are with some of the lowest interest rates ever seen. What happens as interest rates go up, CAP rates will undoubtedly also rise. I know very few ...

Why It's Smart for Real Estate Investors to Monitor Sales and Rental Trends
Sales trends and rental trends are good indicators of rising or falling investment property prices.

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