Comments on: On Purchasing Commercial Real Estate

By: Ian Adams

Ian Adams — Tue, 30 Jan 2007 18:09:46 +0000

Wow, that actually sounds like a pretty good deal, then. :)

By: Travis Vocino

Travis Vocino — Fri, 26 Jan 2007 22:21:32 +0000

Ian, no, not really. You have to factor in the appreciation of the property and the equity that your money buys. It may be cheaper month-to-month to rent but there is no payoff to spending $50,000 for the life of a leasing contract. It’s not like leasing a car, which can only depreciate. If I put $50,000 towards the mortgage in monthly payments vs. rent, that’s equity which I will get back plus appreciation.

By: Ian Adams

Ian Adams — Fri, 26 Jan 2007 17:22:50 +0000

So you’re actually going to buy the property? Wouldn’t that be more expensive in the long run, though? You know, with maintenance and all that.