So you say you want to get into commercial real estate investment. What are some risks that you should really be aware of before you even think about stepping foot into a property?
Number one, financing.
The number one thing any real estate investor, any property owner really needs to understand is what is the structure of their financing? What are the expected payments going to be, what are the terms, what are the interest rates? Do you have the capital to sustain this investment and this mortgage long-term until you’re able to turn your profits and/or flip the property?
So in my opinion, the number one thing you should think about as far as a real estate risk is what type of investment you’re looking to make and what financing is going to work best for you.