The choice between commercial and residential real estate investment depends on your financial goals and risk tolerance. Commercial real estate typically offers higher rental income potential, longer leases, and professional tenants. However, it often requires a substantial upfront investment and expertise in property management. Residential real estate, on the other hand, has a lower entry barrier and is more easily manageable. It's generally less sensitive to economic downturns and offers more diverse financing options. The right choice depends on your individual circumstances and investment strategy. Many investors choose to diversify their portfolios by investing in both commercial and residential properties to balance potential risks and rewards.
