Investment Return
Investment Return? No Managing? Retired. Receive fixed monthly income from your apartment for next 5, 7, 30 years?
How Much Cash Flow Do You Need or Want?
It is an expression of life that "everything is relative" or "water seeks its own level."
This is the same factor of a down payment and credit.
If the buyer has 15 % down and terrible credit, this is obviously very risky. A better
scenario would be if the buyer has 30 % down, and a good credit history.
The interest rate is then determined by you and the buyer. The buyer obviously wants to
pay 5 % interest for 30 years; and you, the seller, usually want 6-8 % for 5 to 30 years.
The "typical" seller carry back might be 5-6 % with a period of 5 to 10 years, amortized over
30 years, in my deals.
Here is an example of how it works:
Let's say your property is worth $1,000,000 and you carried the financing. At 30% down @ 6 % interest, amortized over 30 years and all due in 10 years.
Sale: $1,000,000 At Sale 10 Years
30 % Down: $300,000 $300,000
Interest only: $ 0 $389,419
Balance Due: $700,000 $585,800
Total Return: $1,000,000 $1,275,219
In 10 years, you would receive a total of $1,275,219 (approximately).
(This is reason why, Bank/Lender is always making money!).
But, best of all no management. You can go and travel with no calls from tenants.
You'll receive a monthly cash payment of $4,196.85 every month!
Your rate of return is better than what a bank could offer you today!
Note: This is only a scenario; actual numbers will be different base on your actual sale of the property.
Here are key points to consider:
Buyer’s background check.
Necessary documents and
A person who knows and tells negative
& positive on both side.
Knowledgeable, experienced, who has done it many times.
Me
Last Updated (Wednesday, 16 May 2012 21:55)
Welcome
Phillip J. Oh, CCIM, has over 20+ years of experience in commercial real estate acquisition and disposition and has an undergraduate degree in electrical engineering. He is an active member of the CCIM, National Realtor association and commercial brokerage profession and has worked in all of the diverse of southern California, Oregon, Washington and Nevada states or Western United States. Previously with C/B Commercial and Re/Max Commercial. He concentrates on apartments, strip center to major centers, acquisition and disposition. His focus is to provide hands on personal attention to his client's individual needs and to exceed their expectations. Last Updated (Wednesday, 16 May 2012 21:59) The Federal Reserve Just Guaranteed the Euro’s Recovery
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U.S. stocks will fall 25 percent and the country stands a good chance of slipping into a recession in 2012, says economist and fund manager John Hussman. Last Updated (Monday, 05 March 2012 23:29) Housing Expected to Add to GDP for First Time in 7 YearsOn February 21, 2012 In Business Outlook,Consumer News and Advice,Finance and Economy,Home Owner News,Real Estate Information,Real Estate News,Real Estate Trends,Today's Top Story,Today's Top Story - Consumer [1]The 2012 outlook is improving modestly from a disappointing 2011. Economic growth picked up in the fourth quarter of 2011 to 2.8 percent and is expected to come in at 2.3 percent for 2012, up from 1.6 percent growth for all of last year, according to Fannie Mae’s (FNMA/OTC) Economic & Strategic Research Group. However, the year-end growth rate was due largely to a positive swing in business inventory growth, which is not indicative of underlying consumer demand or the overall health of the economy. Nevertheless, consumer spending improved modestly and manufacturing and services activity expanded at a strong pace. Importantly, labor market conditions continued to improve with nonfarm payroll job growth increasing nearly 250,000 across many industries, including construction. The unemployment rate dropped to 8.3 percent, down from 8.5 percent the month prior, as the large increase in employment outweighed a growing number of people joining the workforce—indicating a genuine improvement in the labor market. If we continue to see this level of positive data, the Group notes, the labor market may become an upside determinant for an improved outlook. Last Updated (Monday, 05 March 2012 23:29) |
- 2363 Atlantic Boulevard in Commerce
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Selling price :
$ 795,000
Building size. : 4,831.00 Sq. Ft.
Lot size : 20,996.00 Sq. Ft.
Detail
- Two Story Class-A Commercial
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Selling price :
$ 5,500,000
Lot size : 11,700.00 Sq. Ft.
Detail






