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Karen Wheller

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Why Residential Property Investors Hate Commercial Property

Commercial property has factors that are of great dislike to the residential investor. Personally, I can’t blame them because more than 5 years ago I was the same and thinking this way also, but there is more to be told about commercial property investing than the residential investor wishes to look at. Some of the benefits, if looked at closely, can outweigh residential in certain cases and market circumstances.Let’s take for example gearing. In commercial investing the property investor will have to put some money toward the investment and the difference he or she can gear via a bond from a financial institution.This is a factor that residential property investors simply don’t like. Because they can gear 100% in residential why will they want something that gives them less gearing?
Read more at: Property Investor Network Campus