Visualizing the decline in property values based on a rise in cap rates and assuming NOI stays equal. This, of course, works in the opposite direction if cap rates fall (property values rise).
In this example using a $1,000,000 NOI, a class B property that traded at $22.2 MM (4.50% cap rate) at the market peak in 2022, would trade at $17.3 MM today using a 5.75% cap rate and the same NOI (the blue line scenario below):
Source: James Eng
Multifamily Market News 