Your house is worth what the neighbor sold for.
Commercial does not work like that.
A building is worth its yearly income divided by the cap rate. $160K a year at an 8% cap is a $2M building.
Raise the income $20K and you just created $250K in value. No market rally needed.
Houses hope the market goes up. Commercial engineers the value up.
Which game are you playing?
#CommercialRealEstate #CapRate #RealEstateInvesting #CashFlow #BRRRR