As inflation drives rent growth, properties in stable markets like the Midwest can continue to deliver returns even in higher-rate environments.Market Conditions Favor Real Estate RecoveryThe commercial real estate (CRE) market has faced significant challenges in recent years, but signs point to a recovery:Bottom of the Market Cycle: CRE appears to have reached its low point in late 2024, with 2025 marking the start of a slow recovery phase.Limited New Supply: High interest rates have curtailed new construction, which should drive rent growth in the coming years.Policy Changes on the Horizon: There is growing discussion about potential policy shifts under the new administration, including a return of 100% bonus depreciation and lower interest rates.

SBA may be a different story but could be much more than even 20-25% down.

You ALWAYS need to do your own due diligence and even MLS listed properties may look like a deal on the listing but when you analyze them deeply they are not. 4.

Also, focus on 2 years of job/income stability.Class D Properties:Cashflow vs Appreciation: Typically, all cashflow with little, maybe even negative, relative rent & value appreciationVacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.Tenant Pool: majority will have FICO scores under 560 (almost 30% probability of default), little to no good tradelines, lots of collections & chargeoffs, recent evictions.

One question that I'm pondering is, even with the positive growth, how do I determine rental demand in the area?

With zoning changes making California’s real estate market even more attractive, now’s a great time to dive in.

They’re familiar with the towns, businesses, and, in some cases, even the commercial tenants, which can work in your favor.

I have started investing for a few years and had some good results with a few GPs but even those GPs who had been coaching other people had really bad results this year (mainly no distribution).

I think it even comes with a copy of Start with Strategy for signing up.If i attend PassivePockets or BPCON I will be sure to try to make an introduction.

Upfront Costs: If they add an ADU or renovate the property, there would be upfront costs to consider, even though your dad’s connections could lower the construction costs.