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TRUMP UNIVERSITY WEALTH BUILDING 101

• Emerging retirement areas
• Commercial properties (offi ce, retail)
• Self-storage
• Mobile home parks
• Zoning changes
• Property/Property-related stocks

Remember, when you think like an entrepreneur, you persistently bring
new possibilities into view. Mull over some of the ideas you’ll discover in this
chapter. Do not let lack of knowledge and vision constrict your ability to
profit with property. Although this brief review of possibilities can’t tell you

everything you need to know to succeed, I hope that through this discussion,
I can excite and motivate you to learn more about the unlimited potential that
real estate provides.
1

Lower Priced Areas

If you live in San Diego or Boston, you’ve seen small residential properties
priced with unleveraged income yields as low as 4 percent to 5 percent, but in

the Midwest, Southwest, and South, you will find similar properties (except for
location, of course) that yield 6, 8, 10, or maybe even 12 percent. Exhibit 15.1
shows several examples of recent listings.

Exhibit 15.1 Sample Listings for Small Apartment Buildings
Phoenix, Arizona Status: Active
Painted inside and out, ceramic tile throughout Price: $234,000
units, some new appliances, new mini blinds, Bldg. Size: 7,896 SF
some new toilets, doors, tubs, and sinks. Units Units: 4
in well-kept condition. Cap Rate: 8.60%
Primary Type: Garden / Low-Rise
Austin, Texas Status: Active
Built in 1973. Faces 1902 hearthstone with a Price: $177,500
large, fenced grassy area in between. Seldom Bldg. Size: 3,584 SF
has a vacancy. All units remodeled in 2001. Units: 4
Cap Rate: 10.29%

Primary Type: Fourplex

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