In order to invest in triple lease investment properties, investors must be accredited and have a net worth of at least $1 million, excluding the value of their primary residence or $200,000 (300K if file taxes jointly) in income. Realistically however, to purchase desirable NNN properties, investor net worth should be closer to $3.0 MM […]
When it comes to investing NNN triple-net lease properties, understanding the impact of responsible accounting is key. Careful accounting and keeping current on changes in tax laws with the assistance of a good CPA and a great NNN broker are the best ways to maximize NNN property investment returns. Here are some things that the best NNN […]
The following calculations and numbers are key for successful NNN investing. Read on to see why. The 3 N’s A triple net lease or NNN lease is one in which an investor’s tenants pay a base rent or “net rent” plus three other charges. In other words, each charge below is a “net” deductable from […]
1. What does the term NNN actually mean? Technically, the owners of such assets earn this income without being responsible for the three major expenses in such leases – repairs and maintenance for the tenanted premises, casualty, liability and other insurances, and real estate taxes. All these are borne entirely by the tenant, giving the […]
The primary secret of NNN properties in wealth-building is giving investors freedom and time to strategize and execute on core asset building activities rather than take on the role of a stressed-out, active, asset manager. Triple Net Leases require the least amount of hands-on, management purely because the nature of the lease puts the entire onus […]
Understandably, lenders focus on the strength of the NNN lease. Lender due diligence involves tenant profit and losses, the credit grade of the tenant, tenant industry, rent payment, rent escalations, exit clauses, assignment clauses, destruction clauses, lease term etc. Plus, net lease lenders will want to ensure that a net lease property has a great […]
Multi-family brokers position multi-family properties as the perfect, passive investment. That, as you will read below, is far from the truth. An owner of multi-family brokers property never has to take legal action against a tenant! Despite stringent tenant verification through credit and background checks, most multi-family tenants (across wide salary ranges and social status) […]
Many multi-family and other management-intensive investors eventually plan to 1031 exchange out of their multi-family properties and acquire net lease NNN assets that are more passive and less hands-on. Such investors typically spend decades intensively managing their properties and are literally burned-out from the process. It may also be that they would like to leave […]
Investors in retirement realistically need to plan for hundreds of thousands of dollars in medical expenses. One dire alternative to not having sufficient income for lifestyle and medical expenses means asset forfeiture to the state – and who wants that?! Aside from the ability to plan around their medical expenses, retiring investors need to become […]
Across the nation, retail NNN and office prices are stable, down a mere 0.3% and 0.7% from last year, respectively. In contrast, multi-family prices, on the other hand, have been slammed, falling 6.6% year over year. Industrial real estate was the only sector that saw growth momentum, up 7.0% from 2022. Current high interest rates […]