Great commercial deals come maybe once a year! Here is one for commercial office building
John Vanhara Imagine this scenario for commercial office building in excellent very high-end location. Locate on very busy street, excellent visibility from street, business oriented hotel located behind the office, and next to high-end restaurant row.
Monthly rent income: $53,000
1st loan payment: $18,500c covering 45% of purchase price, assumable loan with good interest rate (6.75%)
2nd loan payment: $20,000 for the remaining 55% price, assuming 100% financing (in theory):-)
Difference: $14,500 per month! Of course there are other expenses like taxes, maintenance, etc. But anyway how many deals do you find with such positive cash flow while having the deal 100% financed!
What is the catch? There cannot be 100% financing, because no bank will probably want to do the second loan. I wanted to show you example how good this deal is. To make it happen substantial downpayment must be made and assume the first loan. I would personally loved to jump on this one, because it is so rare to see deals like that.
Do you need office space in Las Vegas? Do you have cash to invest? Maybe we can make it happen:-)