Commercial and industrial properties go on the market continuously. This kind of property doesn’t get listed preferentially like residential listings. You have to know where to find these properties, and this article will give you the tools you need to do just that.
If you are looking to lease or rent, the issue of pest control is a critical one to address. This is important in less desirable locations where rodents and/or bugs are an issue. Have your rental agent inform you of any associated policies for pest control.
Commercial transactions are significantly more time-consuming, complex and involved than the home-buying process. Yet, you should realize that the extra focus on, and length of, the process is essential in order to gain a better return on the investment.
Regardless of whether you are buying or selling the property, it is in your best interest to negotiate. Make sure that you are heard and that you fight for a fair price for the property.
Educate yourself about the measurements of NOI: Net Operating Income. Staying in the positive is what you need to do to succeed.
Every prospective real estate purchase should include thorough onsite inspections; it is equally important to verify the inspectors’ credentials. Pay particular attention to credentials when it comes to pest inspections, since it is not uncommon to encounter people working in pest removal without a license. This can prevent larger problems from occurring after the sale.
If you desire commercial property for rental purposes, locate buildings that are simply yet solidly constructed. These properties are generally top sellers because prospective tenants can see how well-built and maintained they are. These buildings also provide much easier maintenance for both the tenants and the owner, as they are less likely to require repairs.
Bring your digital camera along, and use it. Be sure the photos capture any defects that exist in the unit, such as holes in the wall, and damaged or dirty carpets.
Strive to keep your commercial properties occupied at all times if you choose to rent them to tenants. If you have units that are unoccupied, you will not only lose money due to lack of rent, but also the upkeep of the space. If you discover that you have multiple properties that are unoccupied, you should attempt to ascertain the underlying reason. Further action may be required on your part to avoid scaring off potential tenants.
You have to think seriously about the neighborhood where a piece of commercial real estate is located. For example, if you’re offering high-priced goods or services, you might want to purchase property in wealthier areas where people are likely to be able to afford to buy from you. If your business services will do better in a poor neighborhood, buy property there!
Finding the appropriate kind of commercial property is only the first half of your work here. Remember, a little knowledge can really help.
The location of your commercial property is key to its value and its potential suitability for what you have in mind. Find out more about the neighborhood. Compare its growth to similar areas. If you make an investment in real estate, it is in your best interest to ensure that your property is in an area that will still be growing in five to ten years.
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