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www.REIClub.com – What Is Commercial Real Estate Investing? Here’s A Quick Video On The Many Types of Investments And Their Benefits. Hi, this isFrank Chen with REIClub.com, the only site you need as a real estate investor. Today I’ve got quick video on the many types of commercial real estate and some quick benefits to each. TYPES OF COMMERCIAL REAL ESTATE – Multi-Family Apartment Buildings – Self Storage – Mobile Home Parks – Retail Space – Office Buildings – Industrial, Manufacturing and Warehouses – Land Development – Hotels and Resorts – Health Care Facilities DIFFERENCES BETWEEN COMMERCIAL AND RESIDENTIAL – VALUATION – Residential: Purchase – land value and property value, Rent – FMR – determined by area – Commercial: Purchase – determined by income potential, Rents are determined by $/sq.ft, demand vs. supply – FINANCING – Residential: Smaller deposit, 100% loan to purchase, lower rates, but not as easy to get seller financing – Commercial: 30% deposit, higher rates, but better chance of leveraging – seller financing or using OPM. – RENTAL COMMITMENT – Residential: 1 year with option to renew, tenant quality fluctuates, vacancies hurt – Commercial: 3-20 Years, annual rent increase, better tenants, more flexibility with vacancy – MANAGEMENT – Residential: Most of the time YOU are the manager, time consuming, not budgeted for management – Commercial: Property management expenses built right into the valuation of property, professional companies to manage the building

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7 Responses to “Commercial Real Estate – Introduction to Commercial Real Estate Investing”

  • Evkowski:

    investment in Montenegro and, Budvanska riverija – only 9% taxes in ROI.

  • MrYasaki:

    Great video and advice Frank, please keep it coming so. we can learn and when the time comes, make a well informed decision. And yes you are right, yours can very well be, the only information source we ever need.
    Regards from Michigan.
    Juan.

  • helpwithyourcrib:

    Another Great video! It was crazy you put this video out, because i have been thinking about getting in on commercial property. We are currently in rental properties. In our area there is just about as much commercial property as there is residential. And thank you for some great infomation.
    @helpwithyourcrib

  • DancingSpiderman:

    @reiclub The good ol’ “healthy sensible breakfast”. OKay Frank, I hear you. I will have one right now, as a matter of fact.

    I really enjoy your upbeat delivery; I think we all do. To me, listening and watching positive , action motivating real estate people is better than church.

  • reiclub:

    @DancingSpiderman – haha, Thanks! I actually don’t drink energy drinks or caffeine, but a good breakfast usually sets me up for success. A good cup of OJ always gets me going.

  • colincampbell001:

    Awesome content. Very clear and concise. I liked the delivery too.

  • DancingSpiderman:

    Hey Frank, what brand of Energy Drink do you recommend?
    You are so perky. I gots ta KNOW what to perk ME up, so’s I can bang out tons ‘o’ offers all day . I’m always drowsy.

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