What's your Opinion on Investing in Leasehold Condo's ...

[Michael Gayer Jr]

Aloha Investors,

In your opinion, what do you think of Investing in Leasehold properties? Specifically condo's.  Any experiences? Pro's & Cons ...

Also, when a seller is marketing his leasehold (stock certificate), how would you verify the value of it? If a seller says "I'll sell you my my stock certificate for $50,000 and there's 25 years still on the lease", how can I tell if that asking price is too high or too low?

Thank you in advance,

Mike

[Brent Coombs]

@Michael Gayer Jr, as I understand it, you'd either be dealing with the Freeholder directly (but not being offered the Freehold), or maybe the Freeholder has already leased it out (Much like China leased out Hong Kong to England for 99 years), and the Leaseholder is effectively doing a "wrap-around" Lease to whoever they can talk into paying more than they did for the privilege. (And then THAT Leaseholder might try to pass it on again). Or of course, they could be losing on the deal.

But who specializes in these things? And, is my explanation correct? Others, please respond!...