Board Topic: INVESTING CALIFORNIA REAL ESTATE
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INVESTING

Posted by: marshall Sep 22 2004, 01:11 PM
I AM A CALIFORNIA REAL ESTATE AND MORTGAGE GUY WHO RECENTLY SOLD OUT ON A PROPERTY WITH THE INTENT TO EXCHANGE. I THOUGHT I WOULD RELOCATE BACK TO THE SAFE MARKET IN THE MIDWEST. IT HAS COME APPARENT THAT THERE IS PLENTLY OF JUNK OVER PRICED IN THIS MARKET AS WELL. I AM NOW CONSIDERING THE 250K IN TAXES MAY BE THE BEST OPTION INSTEAD OF FIGHTING TENNANTS FOR A 5-6% CAP ON HEAVILY OVER PRICED DUMPS. LOOKING AT NNN BUT THEY ARE OVERPRICED. EVEN LOOKED AT "TIC" BUT THAT SEEMS LIKE A VERY POOR OPTION AS WELL. SUGGESTIONS ANYONE?????? HOT AREA'S? OTHER PRODUCTS?
THANKS

Posted by: loanuniverse Sep 22 2004, 09:51 PM
Marshall:

Most of the appraisals I am seeing {Industrial Warehouses} are using a CAP rate from 8.5% to 9.5%. Problem is most of those types of tenants eventually try to move into a building owned by the same owners. I just realized the last six real estate deals I have done are industrial type properties.

Can't remember how much the last apartment buildings that I did showed, but nothing less than 7.5% cap rate or I would have remembered.

By the way, I am in South Florida.
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