Updated about 1 year ago on . Most recent reply
All CASH-Buying property
Anyone buy with all cash? I would be looking to hold the property for 30+ years. I would not be looking to buy until 2027.
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John Warren
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- Real Estate Broker
- 3412 S. Harlem Avenue Riverside, IL 60546
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@Eric Justice there are tons of all cash purchases every year here in Chicago. The only difference when you run your numbers is that your cash-on-cash return and your cap rate are the same since there is no leverage.
I would personally encourage you to use debt if you are looking to wait 3 years to get started though. The return on your money in a bank is miserable while you wait to get rolling. Debt is not a bad thing, and you can always use the additional cash flow from a property to pay it down quickly if that is part of your goal.