Question: In a profitable transaction when you are selling a property, what is true about the going in and exit (going-out, or reversion) cap rates? Assume
In a profitable transaction when you are selling a property, what is true about the going in and exit (going-out, or reversion) cap rates? Assume cash flow is the same throughout. a. The going in cap is higher than the exit cap b. The going in cap is lower than the exit cap c. The going in cap is equal to the exit cap d. There is no necessary correlation between profitability and these cap rates e. None of the above
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