BiggerPockets

I'm in California, looking for more information on how to do commercial deals. I would like to learn what figures do I need to analyze whether a deal is a deal or not. (NOI....etc) Does anybody complete these deals currently with OPM? If so, how do I gather these people into my buyers list. Is there any tips on finding commercial deals? Do you wholesale your deals or keep them for the CASH Flow. I want to wholesale commercial deals until I can afford to put the large deposits required by banks to finance a property to keep. I would like to get into purchasing and selling : retail centers/ storage complexes/ and apartment complexes. I would really like to find someone I can learn from and watch them complete their deals, if that is possible. I found that at a lot of these REI clubs the majority are not investing in Commercial Real Estate.

Thank You for any help.

Hey Richard, i am a newbie right here in hy would love a menter especially on lending side.

Z,

While starting in the residential side of the business is a good way to go, it's not a requirement. In fact, outside of key financial concepts, residential and commercial are two different worlds. I currently wholesale in residential but plan to ramp up my commercial ambitions in 2010.

From your post I gather that your financial resources are minimal. If this is the case, I would suggest what Peter mentioned in his reply -- attend REIA meetings in your area. However, be forewarned -- 80% of the action manifested from those meetings will be performed by 20% of the people in attendance. Get to know, and build relationships with, the 20%. That simple action, alone, will cut down your time wasted ratio, substantially.

The 20% will be investors looking for deals or seeking partnerships. You can also locate potential mentors. Most of the investors, not all, will be glad to speak with a newbie, provided you do your homework and follow up on conversations and agreed upon courses of action.

Some books I recommend are:

'How to Make Money in Commercial Real Estate for the Small Investor, 2nd Edition' by Nicholas Masters -- a nice primer on different asset classes within the commercial arena.

'Confessions of a Real Estate Entrepreneur' by James A. Randel -- a very good book authored by an active investor, developer and real estate attorney.

'The Real Estate Game' & 'Creating and Growing Real Estate Wealth' by William J. Poorvu -- Harvard Professor of Real Estate and an active investor/developer in the Boston Metro area.

I live in Santa Monica, so don't hesitate to contact me if you need a hand with something.

I wish you much success in your future endeavors.

Anthony