79# freefly
For commercial real estate, such as, retail mall, office building.
Before you buy, you should pay attention to:
1. Timing (when cap rate is high, it is good timing to buy, when cap rate is low, just sit tight with your holdings/buildings and keep accumulate the capital from current rent roll, wait for higher cap rate to occur and add the holdings).
2. Location (Never buy a bad location building, even it is cheaper than market price, most property owner are in big trouble after buy those kind of properties)
After you buy, you should pay attention to:
1. Cash-flow, it is the key of your holding power.
2. Property Management, always think many ways to increase the value and income of your building.
3. When everything in order, keep the system going and do not change too much. |