• Commercial Property Investing - Tips for the Beginner Commercial Property Investing - Tips for the Beginner

    0 comments / Posted on by Steven Rivera

    Commercial Property Investing - Tips for the Beginner

    Commercial real estate properties typically refer to retail, industrial, office, warehouses, mixed-use, and apartment buildings. Did you know that investing in commercial real estate offers numerous advantages and potential benefits to the savvy investor? These advantages include: steady cash flow, readily available tenants, lower vacancy risks, and higher income potential.

    However, before simply buying any commercial property, investors must complete due diligence, to ensure the property aligns with your investment strategy.

    Determine if Commercial Property Investing is the Right Strategy for You

    Like residential real estate, investing in commercial properties will require your own due diligence. These complex real estate transactions will help you first understand if the potential property fits the right investment strategy for your financial needs and goals.

    Cash Flow

    As its name suggests, a cash flow strategy involves understanding and managing your expectations. Before you move forward on this type of strategy, ask yourself the following types of questions.

    • If the property has a lower monthly cash flow, does that mean it’s not as good of a deal?
    • If the property has a higher monthly cash flow, but has other risks, does this mean that it is a good choice for my portfolio?

    As you answer these questions, keep in mind that the strategies will be different for each property. Identify your expectations, manage those expectations, and then with an unbiased view, determine if the property will meet these expectations and thus reach your financial goals. Finally, the goal of cash flow properties is...

    Commercial real estate properties typically refer to retail, industrial, office, warehouses, mixed-use, and apartment buildings. Did you know that investing in commercial real estate offers numerous advantages and potential benefits to the savvy investor? These advantages include: steady cash flow, readily available tenants, lower vacancy risks, and higher income potential.

    However, before simply buying any commercial property, investors must complete due diligence, to ensure the property aligns with your investment strategy.

    Determine if Commercial Property Investing is the Right Strategy for You

    Like residential real estate, investing in commercial properties will require your own due diligence. These complex real estate transactions will help you first understand if the potential property fits the right investment strategy for your financial needs and goals.

    Cash Flow

    As its name suggests, a cash flow strategy involves understanding and managing your expectations. Before you move forward on this type of strategy, ask yourself the following types of questions.

    • If the property has a lower monthly cash flow, does that mean it’s not as good of a deal?
    • If the property has a higher monthly cash flow, but has other risks, does this mean that it is a good choice for my portfolio?

    As you answer these questions, keep in mind that the strategies will be different for each property. Identify your expectations, manage those expectations, and then with an unbiased view, determine if the property will meet these expectations and thus reach your financial goals. Finally, the goal of cash flow properties is...

    Read more

  • What Realtors Should Know About The Millennial Housing Market What Realtors Should Know About The Millennial Housing Market

    0 comments / Posted on by Steven Rivera

    What Realtors Should Know About The Millennial Housing Market

    The millennial generation is considered a little enigmatic in marketing circles, and a considerable amount of research has been conducted to understand how they think, what they buy and how they live. The real estate industry is taking serious notice as well.

    At 75.4 million strong, millennials have now surpassed baby boomers as the largest generation alive, according to the U.S. Census Bureau. However, with 57 being the median age of today’s homeowner, millennials still fall behind boomers when it comes to homeownership.  (Source: Zillow Group Consumer Housing Trends Report 2018)

    So what do shifting tides in real estate’s newest power generation mean for the industry? One thing is certain: Whether buying, renting, or investing in real estate themselves, millennials are a true force in today’s housing market.

    Key Drivers in the Millennial Housing Market

    Jobs

    Though it might seem obvious, proximity to career centers is the first priority of the millennial housing search.

    Recent polls reveal 87% of millennials say career opportunities and ongoing professional growth are important to them. Combine that with another study showing this generation tends to “job-hop,” switching jobs an average of four times in their first 10 years after college (compared to two times for the previous generation), and here you have a group that prefers areas with many employment options.

    Affordability

    Because many in the millennial generation are still paying off student debt and confronted with stiff competition in a low-inventory housing market, affordability is key.

    Of the millennials who are looking to...

    The millennial generation is considered a little enigmatic in marketing circles, and a considerable amount of research has been conducted to understand how they think, what they buy and how they live. The real estate industry is taking serious notice as well.

    At 75.4 million strong, millennials have now surpassed baby boomers as the largest generation alive, according to the U.S. Census Bureau. However, with 57 being the median age of today’s homeowner, millennials still fall behind boomers when it comes to homeownership.  (Source: Zillow Group Consumer Housing Trends Report 2018)

    So what do shifting tides in real estate’s newest power generation mean for the industry? One thing is certain: Whether buying, renting, or investing in real estate themselves, millennials are a true force in today’s housing market.

    Key Drivers in the Millennial Housing Market

    Jobs

    Though it might seem obvious, proximity to career centers is the first priority of the millennial housing search.

    Recent polls reveal 87% of millennials say career opportunities and ongoing professional growth are important to them. Combine that with another study showing this generation tends to “job-hop,” switching jobs an average of four times in their first 10 years after college (compared to two times for the previous generation), and here you have a group that prefers areas with many employment options.

    Affordability

    Because many in the millennial generation are still paying off student debt and confronted with stiff competition in a low-inventory housing market, affordability is key.

    Of the millennials who are looking to...

    Read more

  • Reasons To Consider Investing In Rental Property In Today’s Market Reasons To Consider Investing In Rental Property In Today’s Market

    0 comments / Posted on by Steven Rivera

    Reasons To Consider Investing In Rental Property In Today’s Market

    The real estate market is constantly changing, with investment approaches shifting as new market trends and area-specific information drive change. What worked twenty, fifteen or even five years ago may not work now or in the new year to come. Successful real estate investors need to constantly consider market trends in order to continue growing within their industry.

    The Real Estate Market Could Crash In The Next Few Years (Or Sooner)

    There are many signs that another real-estate market crash is on the horizon. Zero or low down payment mortgages are again becoming a thing. Real estate prices have risen dramatically while incomes have basically stagnated, which suggests a lot of people may be getting in over their heads. With market conditions changing it makes sense to invest in rental properties in 2019.

    Increased Demand For Rentals Due To The Shift In The Market

    Most young home buyers are more savvy than you may think and realize that this is not the right time to purchase due to the market trend - higher interest rates historically bring down the home value , therefore the demand for rentals will increase in the New Year as it is becoming apparent that purchasing may not be the way to go for now.
    In the past the thinking process was that if home prices go down, you can just sit tight for a couple of years until they come up again. In my opinion those home buyers should be prepared for a long wait. I have a friend who bought a house...

    The real estate market is constantly changing, with investment approaches shifting as new market trends and area-specific information drive change. What worked twenty, fifteen or even five years ago may not work now or in the new year to come. Successful real estate investors need to constantly consider market trends in order to continue growing within their industry.

    The Real Estate Market Could Crash In The Next Few Years (Or Sooner)

    There are many signs that another real-estate market crash is on the horizon. Zero or low down payment mortgages are again becoming a thing. Real estate prices have risen dramatically while incomes have basically stagnated, which suggests a lot of people may be getting in over their heads. With market conditions changing it makes sense to invest in rental properties in 2019.

    Increased Demand For Rentals Due To The Shift In The Market

    Most young home buyers are more savvy than you may think and realize that this is not the right time to purchase due to the market trend - higher interest rates historically bring down the home value , therefore the demand for rentals will increase in the New Year as it is becoming apparent that purchasing may not be the way to go for now.
    In the past the thinking process was that if home prices go down, you can just sit tight for a couple of years until they come up again. In my opinion those home buyers should be prepared for a long wait. I have a friend who bought a house...

    Read more