Real Cash Flow Podcast #10
Hosts: Andrew Michael Arroyo & Gary Giffin
In the latest episode of Real Cash Flow, Andrew Michael Arroyo and guest Gary Giffin dive into the opportunities in commercial real estate, particularly in the office and multifamily sectors. This episode is essential for those seeking to understand the current market and how to seize investment opportunities.
Why Invest in Commercial Real Estate?
Commercial real estate offers distinct advantages over residential properties, especially with current discounts in office and multifamily sectors. Andrew likens it to a favorite store having a 50% sale—you wouldn’t want to miss out. Similarly, today’s market presents significant value, and knowing how to invest is crucial.
Interest Rates Shaping the Market
Rising interest rates are a major factor influencing today’s market. Many commercial properties, purchased at low post-COVID rates, now face refinancing challenges. When cash flow fails to cover debt obligations, these properties are often sold at a loss, creating buying opportunities.
Tax Benefits in Real Estate
A key advantage of real estate investing is its tax efficiency. Andrew and Gary discuss strategies like depreciation and 1031 exchanges that can lower your tax burden, boosting returns. High-income earners can particularly benefit from these strategies, making a big difference in their investment profitability.
Opportunities for Small Investors
Gary highlights how even small investors can participate through syndications and real estate investment trusts (REITs). These tools allow investors to pool resources and access lucrative properties, making commercial real estate accessible without needing millions upfront.
Building Passive Income
The ultimate goal for many investors is passive income. Andrew and Gary explain how REITs can generate steady cash flow, giving investors time and freedom without the hassle of property management.
This episode of Real Cash Flow provides valuable insights into commercial real estate investing. Whether you’re a seasoned pro or a newcomer, Andrew and Gary offer strategies to help you succeed in this lucrative market. Tune in to learn how to make the most of these opportunities.