Description
Commercial real estate transactions have many unique characteristics. The following advice will help you get the best deal on your property.
To really make money in real estate you have to make it the day you purchase the property, not rely on the price going up over time. As the last few years have shown, prices can fall as well as rise. But finding a solid house that doesn't require a lot of repairs will eventually be paid for and can be sold for the equity.
Certain hazardous materials might be present in apartments located in older buildings. Ask the leasing agent about the presence of asbestos, lead based paint, or pesticides. Don't rent an apartment with a known health hazard to you and your family. The long-term health issues caused by unhealthy materials in the apartment will cause more problems, than the short-term benefits of cheaper rent.
Before you begin the process of purchasing a commercial real estate property, make sure you find a commercial broker who can help you with your specific needs. Some commercial brokers are not skilled in all commercial real estate areas, which could prevent you from getting what you are specifically looking for.
If you are buying rental units to turn into a commercial business, don't be afraid to go big. In many cases, the minimum number of units per property that requires a commercial license is low enough that you will want properties with more units than that. It is only incrementally more difficult to care for 25 units than for 5 units.
The location of the property is the most important factor to consider when investing in commercial real estate. Think about the type of neighborhood the property is in. Consider how this area is growing in comparison with similar areas in the region. By calculating growth in similar areas, you will be able to ascertain whether the piece of property you are looking at is going to continue growing.
There are many things to learn about the commercial real estate market. Embrace this article's advice to ease the process of finding your business's future home.
