For an investor, or anyone that is considering purchasing commercial real estate, the most common question that needs to be answered is this; WHAT IS THE CAP RATE? What does that even mean? Simply put, capitalization is the process of converting the income of a given property into a capital value. A capitalization (cap) rate has more than one rate embodied in it (i.e. the discount rate and the recapture rate). There are two different types of capitalization in the CRE market; direct... [read more]

So you have been thinking about making the wisest decision of your life for some time - investing in real estate! Congratulations on your great decision. Becoming a real estate investor for the first time can be exciting, but it's important to be aware of the potential risks and challenges. Here are some key things to consider when starting your real estate investment journey: Define your investment goals: Before investing in real estate, you need to identify your investment... [read more]