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Lower your Risks with Commercial Real Estate Investing

Risk is the Enemy - Greenspan is the Devil

Last month the stock market scared a lot of people. In the span of just 24 hours...

Former FED Chairman Greenspan uttered the "R" word - Recession

* Asian markets held an overnight meltdown

* Dow Jones lost 416 points as if falling right off a cliff

* AND every other stock index worldwide tripped and fell just as hard

Bottom line is $583 Billion in wealth evaporated in a single day - in the US alone, because of one retired government official saying one word.

The same pundits who wring their hands at such market swings tell their investors that direct Commercial Real Estate Investing is "High Risk". That's another "R" word getting plenty of play lately - Risk. Tell that to people who rode Enron and so many other stocks down to zero.

I just smile and remember the benefits of being a "Greenspan-Proof" Real Estate Investor ...

*You Can Calculate Profits Before You Buy*

You know what you will pay for the property. You know how you will upgrade the buildings and the tenants ... so you can calculate your profits before you actually purchase the property.

You can pencil out your plan to improve the property, raise the rents, lower expenses and get a pretty good bead on the value of the property given the resulting increase in cash flow.

*Cash Flow - Your Favorite Sleeping Pill*

Your cash flow doesn't depend in the least on what anyone says about "Recession" or "Deflation" or "Inflation" or anything else that ANYONE might say about the markets in general.

That flow of cash comes from processes you can understand and predict. Rent minus expenses. AND you can raise the rents and lower the expenses to force appreciation of your property - that's on top of the income... cool.

*More Leverage Than You Can Shake a Stick At*

You can purchase a $100,000 building for $20,000 down and - get this - it doesn't even need to be your cash.

Imagine asking your broker to sell you $1000 in stocks for $200 in cash ... they would just shake their heads and laugh.

Yet with $200K of your investor's money, you can buy a $1M apartment complex in any State in the Country - any day of the year.

*Tax Bennies*

You won't find another investment where your appreciation and income are sheltered by an automatic tax deduction. AND it all happens while the property itself goes up and up in value. Depreciation is your friend.

The mutual fund world is so perverse you can owe taxes even though the fund lost money that year. Yeah, there's a safe investment for ya.

So just remember all the benefits of Commercial Real Estate Investing as you take on the tasks of looking for the right property for your portfolio. Your patient due diligence will be well worth it.

Ignore what the Stock Market Talking Heads are Saying

Smile at your cash flow, your leverage and your depreciation and the fact that you can actually touch your property with your own to hands.

Then lay yourself down to sleep at night, safe in the knowledge that your properties are protected from the overnight ravages of the brokers and pundits that roil the world's stock markets.

By: Dike Drummond

Article Source: http://www.myaddirectory.com

Thinking about investing money in the major markets any time soon? - Think again. Discover how Commercial Property Investment can increase your Income and Safety.

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