CT REIA and Terry Hale presents:
Recession-Proof Income with Commercial Real Estate
July 19 - 5:30 to 9:00 PM
Crowne Plaza Hotel. 100 Berlin Road. Cromwell, CT
FREE for CTREIA and AOACT members | $30 for guests
Register For This Event at http://www.ctreia.com/events.php?a=r&i=269
Come celebrate the 7th anniversary of CT REIA
We will be celebrating with New Benefits and Raffle Prizes
What You Will Learn
What is Going On In Your Current Market Today? We all know the Residential market is cyclical. It goes up and goes down. Right now is the best time to get involved and make some real money. When the residential market is at its all-time low, Commercial is red hot.
A lot of people are asking "How is The Residential Crash hitting Commercial?" The mortgage meltdown affects certain aspects of commercial real estate, but not all... some properties are recession-proof. So what types of Commercial properties are recession-proof? Here they are...
* Apartments - It's natural to gravitate towards multi family Apartments when you first start out in commercial real estate. It's a concept everyone understands: "houses in a box." When people lose their homes and they need a place to live, the next place they go to is an apartment.
* Self-Storage - When people lose their homes, they transition into apartments. If you've ever lived in an apartment, you know the closet space is limited and the storage space is even less.
* Senior Living Facilities - These are a lot like assisted living but much easier to manage. When people get older, they either end up in assisted living or they look to have a relaxed lifestyle and choose to occupy space in a senior living facility. This is a fifty five plus senior living facility with active seniors who want the done-for-you lifestyle.
* Mobile Home Parks - I call this one the least sexy of all the property types. Most people envision mobile home parks to be in bad areas with management stealing from you. Well you don't need to worry about them skipping out and not paying the rent because you know where they live. Who lives in a mobile home park? People who lose their homes or people who can't afford apartment living. It costs much less than a home and less than an apartment. For that reason alone, it's classified as a recession-proof commercial property.
* Why is Commercial Real Estate the all-time wealth-builder? - The reason is simple... cash- flowing properties. There are four reasons to keep cash-flowing properties and each one has its own separate benefit.* Appreciation
* Depreciation
* Cash Out
* Cash Flow
Most investors purchase commercial properties for two main reasons: cash flow and appreciation. Unlike residential property, commercial property goes up in value much quicker. When the rents increase the NOI (net operating income), the value goes through the roof.
I never buy retail - I buy wholesale. Investors who buy with good old conventional wisdom put down huge deposits and personally sign for loans. I don't do this and don't recommend this.
* Appreciation - The next is depreciation: good old "Uncle Sam" will allow you to write off a portion of the property each year. This is a writeoff for wear and tear.
* Cash out - Here is the wealth explosion for you. You can take out all the equity in the property and put it into "HNB" Hip National Bank. This means you pocket all the cash and you don't pay taxes on that money until you sell the property. When you sell the property, you can do a 1031 tax deferred exchange and roll it into another asset without having to pay capital gains is the wealth-builder that I've been talking about. When you have seasoned a property's income, you can approach a lender for a Cash Out refinance. Seasoning a property usually requires you to fill vacancies on a commercial property and keep it at market occupancy for just 180 days.
About Terry Hale
One morning I sat down to pay my bills and realized all the funds I had set aside have diminished into traveling the nation and the expense that went along with it. There I was again, not able to live the lifestyle I wanted to live. Over the next several years I built an easy to use step-by-step system to capture leads and analyze the data within minuets instead hours, days and sometimes even weeks. I put together a flawless way to toss those time wasting suspects and focus on the low hanging fruit. Now I can tell a motivated seller in seconds and be able get the terms needed to do the deal and create huge profits quickly.
That's about the time I started to teach these strategies to a handful of beginners that couldn't even spell commercial real estate. I had to see if it was in a simple to understand format that anyone could not only digest but go out and implement as I have. I now have testimonials all over my office and the success stories keep coming in. When I had seen one of my first students net worth jump to $3.6 million in a couple months with none of their money or credit in the deal I knew I was the best what I do. I have worked hand in hand with thousands of student's day in and day out and analyzed well over $6 Billion in commercial real estate of all property types. I've also created several books, CD's and home study courses with creative techniques that apply to all property types in addition to land with exit strategies for positive cash flow or to sell for quick cash profits. I started utilizing every creative technique in purchasing and selling commercial real estate.
Official Website: http://www.ctreia.com/events.php?a=v&i=269
Added by CTREIA on June 24, 2010