As we progress through 2024, commercial real estate shows a mixed landscape influenced by economic factors like inflation and labor market shifts.Office PropertiesThe office sector remains strained, with vacancy rates at a record high of 13.8% in July.

You don't need to add risk factors. 

Seller should not be surprised if buyers will now make lower offers than what is listed on the MLS, factoring in the cost of paying for their buyer agent's commission.

I would strongly urge you if you have time to read or listen to Real Estate by the Numbers by Dave Meyer & J Scott because they do a great job of explaining the various numbers and metrics used to make decisions in real estate, it has helped me reframe financial and real estate decisions because I understand the concepts and feel more empowered because of that understanding.The two factors in your decision here are financial and (maybe more importantly) emotional.

You buy at a small price thinking high cash flow yield but then do not factor to renew tenant will likely want new roof, parking lot, etc. at hundreds of thousands of cost.

., this depends on a few factors.

The best option for you depends on a number of factors including your exit strategy, any liability concerns and preferred tax treatment.Type of EntityTax TreatmentMain AdvantagesC-CorporationDouble TaxationCorporate tax rates are lowerS-CorporationPass-throughSelf-employment tax savingsLimited Liability Company (LLC)Pass-throughLiability protection and flexibilityFuture Outlook and Recent Tax Law ChangesMost recent tax changes applicable to real estate investors include:The increase in the estate tax exemption to $13.61 million per individual for 2024.

ARV would probably put the sale around $450-500 depending on a few factors (can any of the basement be finished out to make more sq footage etc).

I am probably going to try renting my unused basement for STR in any event due to incremental cash flow (STR loophole or not due) but wanted to check on the right accounting treatment. https://podcasts.apple.com/us/podcast/tax-smart-real-estate-...

Understanding the nuances involved in each investment decision deeply and weighing these factors according to your investment goals and risk tolerance is essential.