Your question prompts three other questions that result in three additional answers. The following questions and answers are based on complete due diligence and realistic and accurate evaluations.

Is the negative cash flow projected to increase? If the answer is yes, don’t buy.
Is the negative cash flow projected to remain the same? If the answer is […]

You’re not alone. Qualified Intermediaries all over the country are inviting real estate investors involved in or considering a 1031 exchange to put their funds into a TIC. They’re placing ads in the newspapers. They’re holding seminars. Why do the QIs have all this interest in TIC? Because they stand to make a lot of […]

The GRM for an income property is the number of times the income is divided into the price. If the income is $100,000 and the price is $1,000,000, then the GRM is ten times. Of course the first question is what income? Last year’s, the last six months times two, next year’s projection, etc. All […]

The first question to ask is: Are developers building in the same area? If the answer is yes, then it could be a good buy. Albeit, the discount to replacement costs is not sufficient by itself to buy. On the other hand, if developers are not building in the same area, the discount to replacement […]