Commercial Property for Business — Should you go for it?
One of the best investments that anyone can ever make is the one in the commercial real estate sector. If you’re a start-up, then purchasing a commercial real estate can be quite difficult, because it’s not the same as buying a home. It takes lots of time, planning and research. Getting your own commercial property can be a tough decision as each scenario is quite different from the other one. However, it can be a wise investment and the result can be really great.
This blog highlights the benefits of purchasing commercial property and suggests ways through which you can make the whole thing for your business.
Why should you buy a commercial property for your business?
Buying a property for your business can be a brilliant idea, especially when it comes to the commercial real estate. The word “commercial” includes:
- Shopping centres
- Office buildings
- Apartment complexes
Keeping these things in mind, you can find plenty of reasons that must have to be considered for making such investment. It’s an opportunity to make your expenses predictable and gain tax revenues.
Reasons to Invest in a Commercial Area
The Rates Are Fixed
It’s quite comforting to know what your costs will be (month to month), with a rate loan which is already fixed — there won’t be any exposure to oscillations like market rent increases.
You Control Your Investment
You will have a total control of your investment, along with tenants. Get your home renovated whenever you want. Want to repaint your house? Go ahead. You can find as much freedom as needed for your business — this can be a plus point for your business.
Helpful Tips for Purchasing Commercial Property
Ask yourself the right questions before buying a commercial property. Before you start, ensure what your objectives are and understand what you really want.
Ask yourself the following questions!
- What kind of property do you want?
- Is it the right property for your business?
- Which area would be ideal for your business?
Go for a property that fits perfect for your business. Consider the following features when you get decisive about where you want to buy!
Location — The Prime Factor
Location matters a lot! This is literally the main issue in purchasing the commercial real estate. So, make sure to purchase your property in the most reputable area.
Whether you want to go for a commercial office space or an industrial warehouse, ensure that local zoning allows your type of business there.
The Physical condition of the property
The physical condition of your property affects your business so make sure to inspect the property and before starting your business, find out each and everything about the environment of the area.
Enough Parking Space?
Make sure that the area where you’re starting your business has as much parking space as you want. Also, make sure to go for a property that you can expand when your business grows.
How to profit from a commercial property?
Here are some ways through which your small business can profit from a commercial property.
- An investment in a commercial area can increase in value over time.
- Though it depends on the location, commercial properties will return between 6-12% every year — higher than the average 1-4% of single-family residential properties.
- You can find plenty of ways to take advantage of your commercial property, especially when it comes to advertising like selling billboard.
Owning commercial property can pay off really well!
If you own a small business, the benefits of owning commercial property can be very alluring. The feeling to know that you’re the landlord of your own property can be really enticing, as it boosts your visibility as well. So, make sure to research well while buying commercial property as it makes your investment a wise one.
May 11, 2018 AT 10:28 AM
i totally second the opinion that commercial property will return much more than the residential one.
May 14, 2018 AT 10:32 AM
commercial property is the best choice for sure
May 15, 2018 AT 11:57 AM
only investor having huge amount of money can afford to buy a commercial property. much expensive