Scott O'Neill

Everything under an industrial roof is doing pretty decently relative to the rest of the economy.

So that will continue to go strong.

But there is a premium you need to pay to get into that market now because it is priced almost like a safe haven asset.

Office space is the most countercyclical angle you could go with.

And I'm all for office space if it's unique or it's just not an oversupplied type of asset because you can buy better.

You can still get yields maybe 1% or 2% higher if you go into an asset class people are a little bit not as comfortable with right now.

In five years' time, comforts shift for people.

Industrial might be out of flavor in five years or office might be back in vogue.

You've got to invest for the long-term fundamentals of individual assets.

But yeah, I like to keep an open mind with commercial property.

There's never one direction you should go.

Yeah so to answer your question most lenders require 30% down now you can actually get up to 80% loans in commercial so but one of the big differences with commercial versus residential is you can't get those 95% loans or 90% loans like you can with residential so there is a little bit more cash you've got to put down to get the deal done

So the million dollar property, you'll need 300 grand.

Now there's costs as, you know, same with residential.

You've still got the same ratio as a, you know, for the stamp duty.

So on a million dollars, you're talking probably around 40, 45 grand in terms of the deposit for your, um,

Stamp duty as well.

So you're up to, and then you've got your, all your legal fees and building and pest costs.

So that all might add up to a total, including your 30% deposit of 350.

So you'll need 350 grand cash to, to purchase a property.