Once you have done the market research and have seen numerous properties,
you will want to analyze potential deals to see if they make financial
sense. You will want to verify not only
loan qualification based on your credit, but also if the lender will lend on
the property.
For example, I was
considering buying an apartment building a few years ago. My credit and down payment was not an issue,
and the property made sense on paper; however, it was undesirable to lenders
because it was adjacent to an industrial property and in a below-average
area. In the end, I was not able to
obtain attractive financing so I did not move forward with the
transactions. We will discuss analyzing
a deal in great detail in the next chapter.
Download our free Real Esate Analysis tool from the Free Forms section.
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