Can you invest in NNN for under $1M?
Manage episode 309333404 series 3031258
What options are there for triple net deals under $1,000,000?
Thomas dives in and covers:
- the problem with NNN properties under $1M - how many options are there? - CRE Joke: do deals under $5M even exist? - what do you buy with $200k, $400k, $700k, $900k etc? - do benefits of triple net investing diminish with deal size? - real world NNN deal examples - crexi.com - 4,500 property options - all prices, all states - only 700 under $1M - 15% - lease length filter - 5 years or more - 216 deals - only 5% of national deal inventory - absolute net v. Triple net - only 50 deals nationwide! - price based on rent and cap rate - what are the cap rates of NNN deals? - national cap rates - why is the rent what it is? - why is the rent low? - performance of retailer/tenant locations - cost of project / development / redevelopment - prevailing market rental rates - location, location, location - does low rent equal crappy location? - 200 properties - where are the located? - how many are in or near cities? - low rent = low price = questionable location - how does this change if you are in a 1031 exchange? - good deals under $1M - higher cap rate - buyer trade off's - using leverage to get up in higher price point - better triple net deals in $2-$5M range - risks of deals over $5M - listener apology: Grant, Doug, Alice, Rick, Fahiz - other options for under $1M - this is not security advice or a security offering - syndicated deals - fractional ownership - 1031 - DST - Deleware Statutory Trust - Listener Survey: https://www.1031navigator.com/nnnsurvey - REIT's, PPM's, Developers and other Syndicators - Not knocking lower price deals - there ARE opportunities - Small price point example - there is money to be made in this price range - but makes more sense to leverage up or do fractional ownership - listener hotline: 970-300-1994
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Ask your own 1031 exchange, triple net, passive income or other commercial investment real estate question at http://1031navigator.com/ask or leave a direct voicemail at the podcast hotline at 970-300-1994
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Thanks for listening! Your host, Thomas Morgan, CCIM 1031 Navigator helps investors nationwide find the best 1031 Exchange replacement properties in the shortest amount of time. Our focused expertise, experience and daily triple net NNN market presence enables clients to complete their 1031 Exchanges with peace of mind and certainty.
NNN properties provide low risk passive income. 1031 Navigator has been involved with over a billion dollars of 1031 Exchange NNN Properties in over 35 states.
1031 Navigator is a service of Andrus & Morgan Co., a national commercial and investment real estate brokerage specializing in 1031 exchanges into passive income and triple net NNN investments.
For a free, no-obligation 1031 Exchange NNN Property Strategy session for your 1031 Exchange visit: http://www.1031navigator.com
As always, make sure to check with your legal or tax advisor before relying on this information. This is show is for informational purposes only and is provided without warranty. Common sense is the best practice.
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