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» Income Producing Properties

Posted on 11/17/2004
If you are purchasing an income producing property that is not currently producing income, you will need to establish a reasonable measure for how much you can anticipate making in the future. Use comparable businesses in your area to make a benchmark. Expect to have to pay higher interest rates and points for a loan for such a property. Without a history of income, lenders will consider the property to carry more risk.
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