I purchased my commercial property out of necessity. I have several businesses so when I purchased my first commercial property it was because I needed a warehouse and space for those businesses. I had and currently have a towing company and a car dealership. When I first started out I didn't need much space however as I grew (i.e. buying more cars to sell at a time) I needed more space. At first I used a small space that I rented however I soon outgrew that space. So I just rode around in commercial areas and I stumbled on a warehouse in the city sitting on 1.5 acres. I saw an old sign so I took down the number. At this time I was still a full time agent as well. So I called a few commercial agents and asked them about the property and the owner. All of the answers that I received, was don't call the owner he won't sell the property. Several of them had tried to purchase the property and were unsuccessful. I figured because the building was a little run down they may have lowballed the owner. Which I'm sure upset him and they were rejected. I learned years ago if you need or want something like a property never upset the owner. I also knew the value that the building would bring to me would far out weigh the cost that the owner wanted. I called and made him an offer. Which was full price by the way. And I closed in 30 days. There is a little side note. I didn't use bank financing. I never do. Important piece of info: I offered him full price which was $58k I put $1,000 down and had him hold a mortgage for 7 years at 5% for the balance of $57k with monthly payments of $500 a month. And a balloon payment of remaining balance after 7 years if property isn't paid off. I paid him $500 a month for 3 years and I paid off the property. Just so you know when I say I closed. My attorney closed on the property my corporation was placed on the deed and the owner held the first mortgage position. when I owner finance properties my corporations name always goes on the deed if the property was owned free and clear.
