I'd imagine its different pricing because they are sharing a common space with others. 

I do know people who live there, mostly homeowners, and enjoy having the space and the feel of a more rural area.

Even in the commercial space, lenders tend to be more conservative than investors.

Low capital investment, simple conversion to "add" 4th bedroom, multi-family zoned lot, 150ft to light rail transit, across street from open space How did you find this deal and how did you negotiate it?

Spent ~50,000 to add a more functional bathroom and full kitchen to convert the space to a more residential layout.

It is difficult in this area to find affordable, yet decent, commercial space.

@Rory Locke This sounds like a great space you have found, and hopefully will be able to put it to great use.

Just trying to figure out the best space to put future income.I do want to invest outside Galveston soon!

Here is my deal analysis:PURCHASEPurchase Price$120,000.00Down Payment$24,000.0020.00%Closing Costs$3,240.00Mortgage$437.00INCOMEMonthly Rent$1,200.00EXPENSESProperty Tax$267.00Home Insurance$85.00Vacancy$50.004.17%Maintenance & Repairs$60.005.00%CapEx$96.008.00%Water & Sewer$80.00Gas$0.00Electricity$0.00Total Expenses$638.00DEAL ANALYSISNet Operating Income$562.00Monthly Cash Flow$125.00Cap Rate5.62%Cash on Cash Return5.51%So when I first looked at this deal, I saw there was long term tenants (so lower vacancy), the living spaces of the property were actually very nice for a MFH, and the price was attractive.

he later caught me off guard to get some details on what I was doing in our work spaces.