Looking for advice on this deal as I have never done a commercial deal.Property type: Mixed use condominium (nonconforming use variance) 1500 sqft beauty salon lease expires next year, they are asking for 4 year renewal, 500 sqft storage stable income long-term lease, parking revenue in a poolSize: 2000 sqftPurchase price : $600,000NOI: $48,000 (7.5 cap, NNN)Location: Honolulu, HICondition: Good, HVAC just replaced, needs $10k in improvements to flooringI'm interested in the property because it's a high cap rate for downtown Honolulu.

This is not a true statement. 

I thought it was too good to be true but I had to check with the BP experts! 

But obviously that is the beauty in leverage and real estate.So 20% COC.What do you look for in cap rate?

Me and my husband just put an offer on a beautiful duplex.

It is true that you will pay more for a quality contractor but you will save money and aggravation in the end. 

Income potential is $400 per stall for boarding.It is also suited for 2 show areas, a judges tower, spectator seating, outdoor area and jump course.This Estate is currently a well-respected equine breeding and training farm as well.Not to mention the beautiful riding trails!

This is not true.  

You also have to be sure to disclose what the true market value of the property is, based on comps, etc. and THEN if the seller is willing to sell for a lower price, you are on pretty good ground.

If a solid percentage of buyers end of buying their homes or if the monthly purchase price is less than what a reasonable rent would be or if that is the fair market value for the home, etc, etc.Market forces and a wealth of readily available resources (the internet) has made true predatory lending a small segment of the housing industry in recent year.