Why Are Multifamily Units "comemrcial Properties"?
I have never thought of any property that houses residential tenents (ie apartments) to be commercial properties. To me these are just large residential properties that require commercial loans. Is my thinking incorrect, and these properties do enjoy the benefits that other types of commercial properties have (tax advantages, more control over tenants, etc) or are they just big residential properties?
If the commerical prop. is zoned by the city as "commerical"... then it is what it is a commerical apartment bldg. If the lrg. apt. bldg. is in a zoned residential... then its considered a residential apartment bldg.. Depending upon the zoning of the area.
Buy houses to flip or loan to investors that are buying and flipping real estate. You can charge points and high interest rates.
Put it in a Vangard REIT Fund and get 15-24% year. No real risk and funds are liquid.
Find a local hot but low on cash wholesaler and partner with them.
So what constitutes short term in your point of view?
You might look for people who need quick closes and will take substantial discounts in order to do it (say 30% or more off retail) then refinance based on retail value.
Or you might by tax certificates that are about to mature, do the foreclosure, sell or refinance.
Lots of opportunities.
[ Edited by commercialking on Date 04/11/2007 ]
To KIMTD
All propertys have Positive Cash Flow.
Your personal choice if you;
want to borrow against it
amount you borrow
loan terms, etc, etc.