any advice, suggestions, rules of thumb for purchasing NNN properties? Anything to be weary of or look out for? Any downside to NNN leases?
Downside: rents may be lower than other lease types…
But are the rents not lower because the tenant pays all expenses associated with occupancy. Kind of seems like one in the same to me. I don’t know though, I’ve never done a NNN lease, maybe you could clear this up for me.
NNN Leases are common for commercial property, but in most cases are ILLEGAL for residential. Most states have laws that require the landlord to maintain the property in a habitable condition and that precludes a NNN lease.
Good Luck,
Mike
Read the Leases many times the Leases contain bits of information on Manitenance and finding how valuable a particular ( anchor ) tennant may be then structure your deal to suit your tastes be firm but liberal !