8 Lessons Learned: Properties

2017 Real Estate Business: Great Benefits of Real Estate Investing

A triple net or “NNN” deals is one of the most popular property types in commercial real estate, wherein single-tenant retail properties are leased to tenants with high credit ratings. In a triple net lease, the tenant is responsible for insurance, real estate taxes and all maintenance. The term “NNN lease” refers to the lessee having to pay three types of costs which are net real estate taxes, net common area maintenance and net building insurance. For investors who are seeking steady income, triple net is really ideal for them because it only has minimal risks. Triple net lease investments are usually offered as a property portfolio that are consists of three or more high-grade commercial establishments which are fully rented by a single tenant with current in-place cash flow. It includes shopping malls , office buildings, free-standing buildings operated by restaurant chains or banks and industrial parks.

There is a possibility of greater capital appreciation of underlying property and long-term and stable income for investors. Investors can benefit from high-quality real estate investment without worrying about operations management, tenant improvement costs, leasing fees and vacancy factors. Through a 1031 tax-deferred exchange, once underlying properties are sold, real estate investors can roll their business capital into another triple net lease investment without having to pay taxes. The core benefits of triple net investment include passive investment, leveraging of competencies, make money and handle other businesses at the same time, long-term lease financial security, and enjoy time with your family and with people who matter most to you.

Engaging in passive investments involve a discipline of acquiring assets that typically offers long-term appreciation and requires a limited maintenance. Passive investment does not require you to be highly knowledgeable of high skilled in business management operations, hence it is also termed as “couch potato investment”. In real estate, the excellent option for passive investing is acquiring triple net investment properties. As the day-today operations in a triple net property falls to the tenants, the investor becomes the landlord without having to deal with the problems of traditionally managing an owned property.

In a triple net investment, a broker can definitely assist you acquire the right property, and you don’t have to know a great deal of information about business or real estate investment with a fair amount of return of investment. Now that you have equipped yourself with the basic information about triple net investing, you can start scouting the best triple net investment properties and a broker who can help you out. For more information feel free to visit our website or homepage.