Making a well-rounded decision can lead to long-term success in real estate investment.

The real property investment can be repositioned if it proves disappointing in its original form; it can be refinanced or recapitalized if it has too much or too e pensive debt; inflation over time bales out many bad purchases, and finally the investors knowledge, experience and abilities can be leveraged to turn around a cash flow negative property.I’ll provide an exampleThree years ago we purchased a note from a bank secured by two auto repair facilities with a large amount of excess land.  

I never make a loan, no matter the equity position, that the past actions of the borrowers lead me to wonder if they will be likely to pay me back. 

And if they are in low value markets maybe they have zero debt..

This will lead to many of the professionals in the same industries who already are not doing that well to fall out of competition and hence be "replaced'.

You can always leverage rentals within their ability to service the debt. 

Unfortunately, there are times when being accommodating and making exceptions can lead tenants to take advantage of the situation.

One factor to consider is your interest rate on the debt.

There might be some hoops to get through with conventional financing with your income situation, but if that doesn't work, you could use a debt service loan.

It will likely be a web of contractors, engineers, and architects, but some those are ultimately leading to the developer.