Instead of getting fed up with the residential real estate investing game, investors should just change course into Small Commercial investing. There are huge advantages; the first that comes to mind is that this is a business to business endeavor. The nature of small commerical real estate takes all the personal considerations out of the equation. If someone doesn’t pay the rent, it is an easy decision on what to do.
With a switch to commercially investors are also making a great business decision. They are choosing to enter a less competitive and more lucrative market.
Warren Buffet says it best, he believes that all businesses start as a franchise because they have a patent, a copyright or a system of doing business that makes them unique, but eventually the patent expires, the copyright is broken or everyone learns the system of business. It is at this point that the business becomes a commodity. Franchises NEVER compete on price and they create huge profits, while commodities DO compete on price and have very small profit margins. The residential real estate business has become a commodities business!
In residential real estate profits are pinched. Real estate investors pay too much for foreclosed and wholesale property and by the time they are finished with the hard money lenders their is no profit left in the deal. Those that invest in residential real estate are competing with thousands of investors for a limited number of properties….they are in a commodity business! So how does one make real profits? With a FRANCHISE.
Small commercial real estate is a franchise. The number of people that understand how to do small commercial deals is limited. The numbers of brokers that can help investors become a small commercial real estate investor are few. But, there is a large supply of potentially profitable deals in many of the major markets!
So how do investors beat the rat race and start making real money? Small commercial real estate investing, that’s how! Small commercial real estate is defined as small apartment buildings, office condominiums; small homes zoned commercial, mini-strip centers and small warehouses.
These properties are usually fully depreciated and selling for a discount and there is little competition. Banks love to finance mobile home parks and small apartment communities because they typically have exceptional cash flow.
In commercial real estate real estate investors can increase the value of property simply by increasing the quality of the tenant and increasing the amount of rent the tenants pay.
At Dividend America Mortgage, we teach investor all over the United States how to get into this lucrative investing sector. We teach them how to find the deals, how to look at cash flow and how to analyze the deals and make the offers.
We are Real Estate Advisors. As active investors and experienced real estate professionals, as well as lenders, we can show investors how to make BIG money investing in small commercial.
We make our money when investors close the loan we provide so our advice and guidance are free. If you choose to conduct business with us, we’ll show you how to create a CASH FLOW MONSTER! We are in business with you, not because of you.
If you want to realize your dream of property ownership and want to become successful in real estate investing, you need a Real Estate Advisor!
Call and Schedule your FREE One on One consultation with the author of Real Estate Revolutions – Rethinking Real Estate Investment Strategies! and Strategy Sessions Real Estate Investing Series today.
770-350-7373
