
REI180: The Intersection of Education and Real Estate w/ Kevin Clark
The Intrinsic Value Podcast - The Investor’s Podcast Network
00:00
The Importance of Cap Rates
Cap rates have an inverse relationship to value, so if I'm paying less for the same asset, I'm goosing my return on a risk adjusted basis. For me, it's I want to pay a seven for something that should be a five. And that's what it means. Whether they like to admit or not, that's what every investor says. They're looking for something that's inefficient or mispriced or whatever it is.
Transcript
Play full episode