If you are a commercial real estate investor over 50 and you want to invest in investment or income properties consider the following thoughts:
Remember a VERY important thought in life, as good commercial real estate investor as you think you are, there is always someone smarter, stronger, faster and better than you. So, set your pride aside and let a professional take over where you left off early in life.
Take a look.
1. Cut Down On Risk
Cut down on risk and look seriously at safe non-management type investments like triple net properties, called NNN properties or Net Net Net properties.
2. Less Responsibility
As a commercial real estate investor at your age, I suggest considering selling your own intensely managed multi-tenant properties and join with top pros in each sector like retail and warehouse. And let them pay you a passive income without being on a loan or have any responsibility for anything.
3. More Free Time To Do What You Want
Spend more time with your wife, kids, and grandkids or enjoyable activities and give up the day to day headaches of decisions you face as a commercial real estate investor. Invest in net net net property and let more experienced highly successful people take charge.
4. More Diversity In Investments
Place less money in more diverse asset groups being on no loans and allowing top pros to run the show might be a far better course at this age.
5. Non-Recourse Financing
Gett either nonrecourse financing on a triple net credit. Tenants may be a better direction than risking being on a loan personally on a less superior tenant with a higher cap rate.
6. Use The 1031 Rule To Legally Avoid Paying Taxes
Cashing in while cap rates are so low on your present properties and trading with the 1031 IRS rule in effect might be one of the best decisions you could make as a commercial real estate investor in your age.
7. Low-Interest Rates
Taking advantage of low-interest rates locked in for ten years that are assumable when purchasing other assets is a wise consideration when trading.
8. New Strategies, New Streams Of Income
Open yourself to new strategies that have improved over the past few years and stop only considering the ones you did 25 years ago that worked then but are archaic now.
9. Be Open To New Things
Open your mind up to listening and not arguing about what you have done in the past that brought you success but may not apply now based on age and time you have left to enjoy life.
10. Get A Higher Cash On Cash Rate For Your Income Properties
Consider IRA money into investment or income properties that allow the older commercial real estate investor a much higher cash on cash return and safe one verses CDs at low rates earning little to nothing.
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