CD s ,

Some one has recommended buying a commercial property viz office in a commercial which can be leased out .. for investment purpose , stating

More capitalization .
More rent.
Less possibility of default / legal hassles .

(as compared to residential )

I wish to validate whether the above is correct and what are the down sides of such an investment ?

For one , as known to me is that the cash down part should be at least 1/3 rd and you are looking for around 50K easily .

Another is that the mortgage would be higher priced as compared to residential .... You would not be able to use first time HBP benefits or your RRSP s .....

Are there any other concerns / features to look out for while searching for a commercial property .... Recommendations / cautions / sharing of experience or knowledge welcome .

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Fido.

Maintenance of such property is something to consider.

Otherwise it is a low return, low risk investment.

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A Proud Indian Canadian