Investing in Rhode Island Mixed Use and Multi Family Property.
Just reading between the lines on some Rhode Island real estate figures that have recently come out, it seems that there might be some good opportunity with purchasing either a mixed use or multi family property.
The average price of a multi family went from $82,000 in May 2009 to $107,900 in May 2010. That's a nice gain in equity.
With these low selling prices, I'm sure the math on many of the finance options will show that there is the potential to see income generated right at month one of ownership. I also wouldn't be surprised if on the owner occupied ones that the new owner paid little to nothing to live there while they enjoyed the tenants rent checks covering the mortgage payment.
On the Mixed Use and Commercial Real Estate side of things in Rhode Island, there has been a recent uptick in new leases and lease renewals as tenants recognize the market is turning and want to grab their best tenant agreement today rather than in the stronger market.
There has been a good amount of purchase transaction going down as a cash purchase without the use of a mortgage. But why should just a small group of investors have all the fun?
Today, there are a variety of mortgage programs available for both the multi family and the mixed use property type. If either will be purchased as an owner occupied property, then the approvals get even better. Low rates, FHA available on both the residential and the commercial building. Rehab and traditional loans. USDA and SBA are also good options that offer low down payment mortgages on the commercial property.
Jason
Comments(1)