Dean Zander of Hendricks & Partners, whose new listings include properties ranging from 60 to 112 units at prices of up to $26 million, tells GlobeSt.com that the bid-ask gap appears to be closing. "Sellers understand that they are not in a five-cap environment any more" and are willing to list at prices near the six-plus caps that investors want these days, Zander says.

Greg Harris of the Harris Group at Marcus & Millichap, whose recent listings include complexes from 12 to 80 units at list prices of $1.2 million to $20.25 million, observes that, "The sellers in today's market have identified that in the short term, values will continue to erode before they appreciate again." Sellers today "are either trying to lock in their gains or are preemptively attempting to get around their loans coming due," Harris says.

[IMGCAP(2)]Marcus & Millichap broker Dave Harrington, whose recent listings include the historic Hillview Apartments in Hollywood, observes that many bids today still fall 15% to 20% below list prices but some smaller buildings are actually commanding list price or above. The Hillview is a restored 57-unit complex that was built in 1920 by movie mogul Sam Goldwyn of MGM and is on the market for just over $21.17 million.