Today’s question comes from Eric in Dallas Texas.
I am invested in a value add apartment building that closed in the first quarter of this year. It’s a C-class asset, purchased at a 5% cap rate. I am on a variable rate bridge loan and have not yet converted to permanent financing. I’m now thinking that I should have waited to see what happens in the market. I’m hearing that prices can be expected to fall in the near future. Did I over-pay?
What are your thoughts?
Host: Victor Menasce