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Results (10,000+)
Tove Fox Residential vs. Commercial Real Estate Investing?
5 January 2025 | 13 replies
@Tove Fox - Residential Real Estate InvestingPros:Lower Entry Costs: Easier to get started with less capital required.High Demand: People always need homes, making demand relatively stable.Easier Financing: Mortgages are generally easier to secure with favorable terms.Simplicity: Easier to understand and manage, especially for beginners.Flexibility: You can use it as a personal residence or rent it out.Cons:Tenant Turnover: More frequent turnover leads to vacancy and more management.Lower Cash Flow: Income potential can be modest compared to commercial properties.Emotional Buyers: Residential prices can be influenced by emotions, leading to price volatility.Maintenance Burden: Landlords often deal with repairs and maintenance, which can be time-consuming.Commercial Real Estate InvestingPros:Higher Income Potential: Stronger cash flow and higher returns are common.Long-Term Leases: Tenants often sign longer leases (3-10 years), reducing vacancy risk.Professional Tenants: Business tenants tend to take better care of the property.Valuation Based on Income: Prices are based on the income the property generates, not market emotions.Shared Costs: Tenants often cover property expenses like taxes, insurance, and maintenance (via triple-net leases).Cons:High Entry Costs: Requires more capital or partnerships to get started.Complex Management: More expertise is needed; you may need a professional property manager.Economic Sensitivity: Commercial properties are more sensitive to economic conditions.Challenging Financing: Securing financing can be harder, with stricter terms and higher interest rates.Zoning and Legalities: More complex regulations compared to residential properties.Key Differences:Risk: Residential tends to be lower risk, while commercial offers higher rewards but with greater risk.Management: Residential is easier for DIY investors, while commercial properties usually require a team.Scalability: Commercial properties are easier to scale, offering more potential for significant cash flow increases.
Katie Miller If you use a CPA or Tax Professional, how did you find him or her?
31 January 2025 | 121 replies
We really want take advantage of accelerated depreciation to lower our tax liability. 
Alex R. Southern Impression Homes
14 January 2025 | 27 replies
Disappointed they put the septic tank relatively close to the house, even though the lot is over an acre.Neither Suncoast nor SI disclosed they were building other homes and marketing them for rent at the same time -- at a lower rate.I went under contract to buy a home in Ocala from SI in Summer 2018.
KJ Hoggan New Guy on the Block!
28 December 2024 | 3 replies
That's most likely going to be a C- neighborhood or lower so there could be more perceived scale to BRRRR, but a tougher decision on how to renovate at that price point and possibly harder tenancies.I would get to real estate investor meetups in your area.
Kendric Buford Multifamily Newbie - Tips & Feedback (Out of state/Ohio)
1 January 2025 | 12 replies
Which is why I pay more, for less cash flow in highly desirable areas.In high income areas, rent is a lower proportion of income so therefore your tenants have a higher capacity for paying higher rent because rent is less than 20% or even 10% of their income.
Marcus Auerbach Mortgage rates going up. Is the market expecting inflation?
24 December 2024 | 25 replies
First time that I am actually glad that I have to go commercial - rates are actually lower.
Kyle Fitch Why Real Estate Over Stock Market?
6 January 2025 | 57 replies
(d) retained earnings from depreciation use to lower tax burden. 
Charles Fay What to do with savings
2 January 2025 | 8 replies
You’re able to learn the basics of a real estate investment with lower risk and build equity at the same time.Because you're in the military, you'll be able to enter a property with 0% down which means you can leverage your money way more effectively. 
Dan Thomas Airbnb claim process
4 January 2025 | 19 replies
I have supplemental insurance so I am of the mindset that they should get rid of this bogus insurance and lower my host fees..
Garry Lawrence 19-Year-Old Closing on First Rental Property – Seeking Advice!
11 January 2025 | 12 replies
I’m also making the property my primary residence to lower upfront costs, effectively turning it into a house hack.With this setup of me now occupying a room and not including utilities.