Small Multifamily Cap Rates at 5.2% Nationally
Chandan Economics and Arbor Realty recently released their quarterly Small Multifamily Report. It’s one of the best data sources on what is happening in the small multifamily segment of the market, which generally corresponds to deals that qualify for Freddie Mac Small Balance Loans.
Small multifamily cap rates currently stand at 5.2% and are at their lowest ever rate in report data tracking back to 2005.
In addition, the small multifamily risk premium to the 10-year treasury averaged 360 bps in the second quarter of 2021.
Direc link to the Small Multifamily Report.
