New York City · Member since 2018 · 161 posts · 75 votes
Hi Everyone,
Very basic question, how do I get started in Commercial properties? I Currently own 8 piece of real estate. 7 long term rentals. 1 str that is currently in the furnishing stages. I am under contract for a 5-plex which is technically a commercial property. I will probably be doing 2 more STR's this year.
I would like to at look at opportunities in the small tier commercial (under 1 million dollar) category to see what's out there. Is it just browsing thru loopnet? How do I talk to brokers when I honestly don't know what commercial category I want to invest in and am more in the stages of opportunity research?
Investor · Coppell, TX · Member since 2018 · 311 posts · 166 votes
2y
So your 5-plex will help you with your ability to get into commercial real estate. Here are 2 key factors to prepare yourself for your entrance into commercial realm:
1. Searching and putting LOI on commercial deals through buyers brokers (or directly via listing broker)
2. Lining up your commercial lending.
I suggest, focus first on small commercial multifamily: 10 ~30 units. This will help you buy and manage larger deals.
Investor · Coppell, TX · Member since 2018 · 311 posts · 166 votes
2y
So your 5-plex will help you with your ability to get into commercial real estate. Here are 2 key factors to prepare yourself for your entrance into commercial realm:
1. Searching and putting LOI on commercial deals through buyers brokers (or directly via listing broker)
2. Lining up your commercial lending.
I suggest, focus first on small commercial multifamily: 10 ~30 units. This will help you buy and manage larger deals.
So your 5-plex will help you with your ability to get into commercial real estate. Here are 2 key factors to prepare yourself for your entrance into commercial realm:
1. Searching and putting LOI on commercial deals through buyers brokers (or directly via listing broker)
2. Lining up your commercial lending.
I suggest, focus first on small commercial multifamily: 10 ~30 units. This will help you buy and manage larger deals.
I have a dscr lender that does commercial properties. At least mix units and small apartments. Idk about the others.
Is there a particular market you would suggest to review/analyze?
So your 5-plex will help you with your ability to get into commercial real estate. Here are 2 key factors to prepare yourself for your entrance into commercial realm:
1. Searching and putting LOI on commercial deals through buyers brokers (or directly via listing broker)
2. Lining up your commercial lending.
I suggest, focus first on small commercial multifamily: 10 ~30 units. This will help you buy and manage larger deals.
I have a dscr lender that does commercial properties. At least mix units and small apartments. Idk about the others.
Is there a particular market you would suggest to review/analyze?
Depends on the cap rate you are looking for. For example, I am in Dallas, TX - the cap rates are very low here. Currently I am investing in the Midwest. But it really depends on your goals and future plans. DM me if you need help..
Real Estate Broker · Coppell, TX · Member since 2011 · 5k+ posts · 4k+ votes
2y
You don't have to go at it alone like what you have done already. That's risky. Partner in other people's deals. Look for some NNN funds. Network with commercial brokers and ask them for referrals to reputable investors. People always need money to do deals. Look at some places like crowdstreet.
You don't have to go at it alone like what you have done already. That's risky. Partner in other people's deals. Look for some NNN funds. Network with commercial brokers and ask them for referrals to reputable investors. People always need money to do deals. Look at some places like crowdstreet.
I wouldn't even know what to say to a broker. I feel stupid calling one at random and just saying I have an interest in buying commercial with no real criteria or research done before hand.
Very basic question, how do I get started in Commercial properties? I Currently own 8 piece of real estate. 7 long term rentals. 1 str that is currently in the furnishing stages. I am under contract for a 5-plex which is technically a commercial property. I will probably be doing 2 more STR's this year.
I would like to at look at opportunities in the small tier commercial (under 1 million dollar) category to see what's out there. Is it just browsing thru loopnet? How do I talk to brokers when I honestly don't know what commercial category I want to invest in and am more in the stages of opportunity research?
You don't have to go at it alone like what you have done already. That's risky. Partner in other people's deals. Look for some NNN funds. Network with commercial brokers and ask them for referrals to reputable investors. People always need money to do deals. Look at some places like crowdstreet.
I wouldn't even know what to say to a broker. I feel stupid calling one at random and just saying I have an interest in buying commercial with no real criteria or research done before hand.