New to commercial RE
Hi All,
I am new to commercial RE and have been involved in residential for a while. I am trying to understand the pros and cons of commercial vs residential. I am evaluating a few speciality properties that have absolute net leases of 15 yrs and that have a cap rate of 6% or higher.
As you can probably guess from my questions, I don't yet have a plan for these. My goal is to build wealth and create an income producing property over the long haul.
Here are some of the questions that I am wondering about:
1) What can I do with a speciality property after the 15 yr lease ?
2) Incase of an economic recession , do prices of commercial RE drastically reduce?
3) How much loan do banks offer on these and if you have any recommendations for lenders
4) What are some of the things I should consider when evaluating a commercial property.
Thank you,
Prisha