All Forum Posts by: Steve R.

Parish,

There are basically three ways that are typically used to value commercial properties: how much it would cost to build the property minus depreciation (cost approach), discounted cash flow analysis from the income the property produces (income method), and comparing the subject property to recent sales of similar properties. Make sure you are familiar with cap rates in your specific area, as this is usually a good starting point when comparing one commercial property to another.

Some good places to get commercial property info is costar, loop net, local brokers and appraisers, as well as your local assessors office.

Good luck

John, I hope that you continue to post as you ramp up your wholesaling business in Mass. I am also a new investor located in the Worcester area and I am finally taking action.