There are several advantages to being a Specialist in commercial real estate.
Folks, this weeks comments may be a bit too revealing for some of you. Im going to talk my inner self & and I DO mean INNER. But before I go there, I should mention that if you use Twitter, there a really NEAT freebie that you can use to explode your social network.
Its called TweeterGetter. Just go here: http://tweetergetter.com/craighigdon. It is totally free. Just click on the link, fill in your Twitter username and password, and click on the button (you can get a Twitter account there, too & also free). Now, back to my inner self I had to undergo a medical procedure today that men knocking on the door of their 50s get to experience usually for the first time.
Now if you are at all squeamish & DO NOT READ the paragraph beyond this point beyond the next sentence! We are still lending and getting a bit more aggressive in rescuing stalled construction loans, so be sure to ask us about the C.P.R. Financing Program. Now, If youre squeamish, please skip to the Financing Tip, OK?
Youve been warned. One word for you: Colonoscopy. Yeah, its true, the proctologist WILL get you in the end. However, I am here to report that the preparation is the worst part of the process. You are blissfully knocked out for the actual uh, procedure. Ok, Ive revealed more about my inner-self than any man should. On to the commercial real estate world.
Commercial Investing Tip
Do You Have A Specialty? When you go to see your doctor about a specific problem that is not in his area of expertise, he usually refers you to a specialist. There are several advantages to being a Specialist in commercial real estate.
First, Specialists know their field of expertise far more intimately, thus are able to evaluate candidate projects more effectively.
Second, Specialists know who the best vendors are for things like brokers, repairs, management, lenders, etc. and have an easier time finding qualified help.
Third, Specialists know how to manage their assets better and can adjust to changes in the market place more quickly.
Fourth, Specialists have an easier time raising capital or getting financing because of their track record in the property type. Money likes to work with seasoned professionals.
So to maximize your income opportunities, consider focusing on a particular property or transaction type.
Where Have all the Commercial Lenders Gone?
Government Agency guaranteed or sponsored transactions, including: SBA 7(a) and 504, HUD construction loans for multifamily projects, Community Reinvestment Act loans, USDA Business and Industry loans, and to a lesser extent, Fannie Mae and Freddie Mac multifamily loans.
Trading Up Using the 1031 Exchange
A powerful method for building real estate holdings is the use of 1031 Exchanges, which lets investors defer capital-gains assessment on investment property.
Segregate Costs for Better Cash Flow
While costs such as office equipment and furniture are easily recognizable as personal property, construction-related costs that are often included as part of real property may also qualify.
