We turn down deals that are 15% cash on cash all day long.Retail Negatives The amazon effect will kill retailBig Box closures (JC Penney, Toy r us, Bed Bath and Beyond etc)Malls are closingRetail PositivesCan't kill internet and recession resistant businesses (dog groomers, restaurants, bars, medical, QSR's, hardware, urgent cares etc)Retail grew at 6.9% year over yearCBRE reported retail vacancy is the lowest it has been since they started recordigng that metric at 6%Retail PlayBuy retail in suburban locations where new competition is land locked.Stress test your deals and tenantsStay away from areas where there are millions of sq ft of retail (think where the Costco's or Best Buys are)Post Covid, we have become accustomed to going to suburban downtowns vs metropolitan city centers and that is where all of the growth is.Retail Case StudyWe purchased a 96k sq ft strip mall that is 18% cash on cash at purchase. 

The agent said the owner was in the process of hauling them off.

Luckily the PA sales pitch educated my enough to not let them haul all my clothes, appliances and electronic away right away the first day. 

I had reminded them of the no pets policy a few months ago when I was escorting the hvac tech thru the property and I saw cat toys and a litter scoop on the kitchen counter.Lease was ending anyway and they decided not to renew.Did the walk thru with them last night and was suprised at how clean the place was. 

Landlording is not for everyone, but I have to agree with Mitch it is a great way to build wealth over the long haul.

If you just took your income and put $1000 extra toward your mortgage each month to save on interest over the long haul, everyone thinks that's a great idea.

There fees will eat up any profit over the long haul. 

Plus some clothes in the closet and a few toys strewn around. 

If the dumpster and haul away fees are documented on an invoice, and that exceeds the deposit, then you don't have to go much further than that to account for where the deposit went. 

She's settling in, and hopefully for the long haul.