Principle paid is not income, it doesn't increase your cash return as your loan obligation remains the same or nearly the same, it shows in the balance sheet, not your income statement.Play with your numbers, run spread sheets, imagine what ever you want, you're day dreaming and wishing, don't have time for that and neither do you as it doesn't do anything for you in reality, when you get back to reality study laws, compliance, ordinance requirements like those you asked about so you actually learn something.

It was like this dream/vision that I had, that I sometimes thought was a long shot was confirmed to be a great idea because a lot of other people was doing it and they were very successful.

MD is the "if you can dream it, we can tax it" state so again, there has to be a good spread for all parties to have a win-win.  

So, I think at certain point, you might be right about him being just picky on his "dream house".

Hello,It is my dream to get started in real estate however, money is tight and I struggle to get financial backing.

I can price in the higher interest rate in my offer price.Mixed use such as what you are looking at is harder to get good debt on.The retail you would need to look at TI needed to land a tenant and required lender reserves which will vary based on the retail spaces.5 levels of retail tenants from least risky to most risky for lender underwriting purposes.Taco Bell as an example.Lease guaranteed by all corporate stores - thousands from parent companySubsidiary of corporate - ex. 300 Taco Bells in one stateLarge franchisee with track record of 15 years in biz and 100 stores etc.Small Franchisee with one to two locations and little experience and assets.Lowest is non- taco bell but just a persons starting up a taco place with no support just a name and a dream etc.Most of my clients buying strip centers into the multi millions are using non-bank debt.10 year term, 30 year amort., high 4's fixed, non-recourse loan with a first 2 years interest only option to push cash on cash another 250 to 300 basis points.

I mean really, I might make more chasing opportunities in Iraq or Turkey or Mexico, about the same difference, it takes a good manager on site, a local attorney to take out the trash, taxes may be an issue but gee, returns should be considered if you're getting outside your own neighborhood.Now, I did think about Detroit, so much in fact that I had a dream about the Motor City, which ultimately led be to decide to stay in my own backyard,My revelations in the middle of the night gave me a more realistic view of investing outside my realm of better understandings.

We are getting ready to build it due to the fact that we are filled up 100% on 2 mid size units.It has been a dream come true!

At that point I'll be looking into 10-16 unit complexes.Well thanks for reading my dreams,  any and all advice is greatly appreciated.  

Above all, do not let them hurt you, for in reality they are nothing but dream experiences....