Cap Rate Recommendations - National Income Property Index (NIPI)
Historical Consumer Confidence Index (CCI) Data
Employment Index
| Unemployment Percentage |
Employment State of the Economy |
| 10%+ |
Depression |
| 8% - 10% |
Strong Recession |
| 7% - 8% |
Recession |
| 6% - 7% |
Mild Recession |
| 5% - 6% |
Good Economy |
| 3.5% - 5% |
Strong Economy |
Current Cap Rate and Negative/Positive Spread Index
| Current Recommended Capitalization Rates |
Current Negative/Positive Spread |
Recommendations |
| 7.5% - 8% |
Strong Positive Spread |
Strong Buy |
7% - 7.5% |
Medium Positive Spread |
Buy |
| 6.5% - 7% |
Minimal Positive Spread |
Moderate Buy |
| 6% - 6.5% |
Minimal Negative Spread |
Moderate Sell |
| 5.5% - 6% |
Medium Negative Spread |
Sell |
| 5% - 5.5% |
Strong Negative Spread |
Strong Sell |
Consumer Confidence Index (CCI) Ratings
| High Range |
Middle Range |
Low Range |
| 125 |
100 |
75 |
*Data Sources: Freddie Mac, U.S. Census Bureau, Conference Board
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