Have you seen cap rates start to rise if so by how much?
I've noticed an increase in CAP rates of probably only .5 increase compared to how much rates have gone up. 

What does everyone think the next year holds could we see another 1% increase in CAP rate?
[{"id": "iulywqk", "text": "I\u2019ve generally seen multi family, up to 50 units, rise 1%. Looks like sellers are in my market are catching on to reality because I\u2019ve seen a couple at 8-9%", "replies": [{"id": "iumzbe2", "text": "Yeah I think 1031 money is starting to flush out I have a feeling 2023 is going to be reality sinking in for everyone. But who really knows right...", "replies": [], "depth": 2}, {"id": "iup56pm", "text": "What asset class and markets are you seeing 8-9 caps", "replies": [{"id": "iupih0o", "text": "Just saw an A class building, NNN, mental health facility listed at 9%. That one I didn\u2019t do any homework on because it isn\u2019t my sector so take it at face value. But I\u2019m finalizing a deal on a C class 30 unit multi family that is pushing 12% at purchase and will be significantly better after a year. Closed yesterday on a 6 unit B class that\u2019s 9%.", "replies": [{"id": "ivgcmzy", "text": "Where are you seeing these deals?", "replies": [], "depth": 4}], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "ium3bzf", "text": "I'm sure as shit not buying anything at an 8 Cap anymore when JP Morgan Chase corporate bonds are paying like 7.5%...", "replies": [{"id": "iumxbfd", "text": "Can you elaborate on which bond product? Series I gov bonds just lowered to 6.89% from the 9% range.", "replies": [], "depth": 2}, {"id": "iun1ci5", "text": "At the larger sizes deals, you still have a lot of private equity money and pension fund that needs to get invested annually. If not the fund administrator loses their fees and closes the fund so they feel pressured to buy.\n\nThey have a ROI goal that means shifting to higher risk (CAP rate) investments such as hotels, office, mobile home parks, ground up construction or value add deals.\n\nPart of the reason we haven't seen Apartments go up in cap rates is that there is strong rent growth this year due to an ongoing housing shortage. We will only see apartment cap rates go up when unemployment starts to increase that will drive up vacancy.", "replies": [], "depth": 2}, {"id": "iuna223", "text": "Where are you seeing 7.5%? Everything I see is in the high 3s for JPMCo", "replies": [], "depth": 2}], "depth": 1}, {"id": "ium4a0c", "text": "I haven\u2019t seen any cap rate increases. I have, which I find hilarious, seen many people displaying cap rates proudly now on all their shitty listings.", "replies": [], "depth": 1}, {"id": "iumgq2w", "text": "Not yet. No one is willing to take a loss yet.", "replies": [], "depth": 1}, {"id": "iummx6u", "text": "Just to be sure, the formula you all use for Cap Rate is : \nAnnual revenue/Purchase price (excl closing costs, due dill, Reno\u2019s, taxes, etc) ?", "replies": [{"id": "iunhddx", "text": "EBITDA, not revenue.\n\nEdit: Would love an explanation of the downvote for trying to be helpful...", "replies": [{"id": "iuo0sgz", "text": "Ok, I did some research and it says NOI should actually be used? Just trying to learn", "replies": [{"id": "iuob5ig", "text": "NOI and EBITDA are often used interchangeably, but EBITDA is a more accurate term.", "replies": [{"id": "iupi2n1", "text": "Assuming nobody confuses the T for property taxes.", "replies": [{"id": "iupmnxb", "text": "Very true.", "replies": [], "depth": 6}], "depth": 5}], "depth": 4}, {"id": "iup5n1s", "text": "Cap Rate = NOI / Purchase price. NOI is net operating income NOI = Revenues less Expenses", "replies": [{"id": "iupzx9y", "text": "And not accounting for the loan/debt/mortgage.", "replies": [], "depth": 5}], "depth": 4}], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "iundsjx", "text": "Not yet.  Probably won't see anything until next year when you get the combination of higher vacancy &amp; bad debt expense alongside rising interest costs.  Refinance risk is becoming a big issue with rates hitting the levels they are.  Savvy developers have been socking cash away and should be able to afford whatever right-size is needed (if any) when they go to refinance.  \n\nMulti-family may never see this issue unless they were underwritten skinny and/or at top of market.  Vacancy will rise but we're just above record lows and still very much in a housing shortage, which may only get worse as housing purchases grind to a halt and as a result grow the renter pool.\n\nKeep an eye on office, these are going to be the worst hit as places are generally pulling back on lending right now and looking to sensitize underwriting further on office given the continued prevalence of WFH.  Seeing declining rental rates for office space, especially in older buildings that aren't laid out as well as their newer competitors.", "replies": [], "depth": 1}, {"id": "iunqoal", "text": "Everyone is just waiting to see where rates end up, i am not seeing a lot of deals. Could be an entire year of this.", "replies": [], "depth": 1}, {"id": "iuo7136", "text": "About 100-150 bps increase. Exit caps were in the high 3's low 4's. Now they're about 5 to 5.5", "replies": [], "depth": 1}, {"id": "iup6nqo", "text": "BX has industrial assets for sale at a 7 cap\u2026 interesting world.", "replies": [], "depth": 1}]