oddsod - 3:37 pm on Mar 11, 2010 (gmt 0)
The market decides the rate.
It doesn't matter what the owner thinks is fair. If he wants to sell he has to accept what the market is willing to pay whether that's 24x (months), 36x or 2x.
Anyone thinking that market prices are too low should be out there taking out mortgages at 7% and buying sites to get 30% returns. There are a lot of sites selling every single day. And I'm not talking just the junk at Flippa.
I run a forum discussing issues surrounding the buying and selling of sites. Everyday I hear at least one moan about prices being too low. There is no such thing as too low or too high. There's only what the market sets.