Select pieces of real estate can have tremendous commercial potential. This real estate can line your pockets with profit and might even make you rich! However, it is not for everyone, because of the large stakes and investments involved.
Before you buy or sell a commercial property, find out several key economic indicators for the region, including trends in unemployment and income, as well as major employers in the region. Properties near hospitals, universities or other centers of large numbers of employees tend to sell faster and at higher-than-average values.
Take digital pictures of the place. In the “before” photos, especially, make sure that the pictures clearly show defects such as stains on the carpet, discolorations in the tub and sink, and holes in the walls.
Practice calm and patience when you are looking into the real estate market. Don’t jump into a new investment too quickly! You might regret it if that property is not right for you. It could take you twelve months or longer to get the deal that fits you perfectly.
Location is a very important part of commercial real estate. You will want to focus on the actual neighborhood for starters. Also, keep growth in mind. This is important, as you don’t want to be in a current growth area only to have the neighborhood stagnate in a few years.
If your property deal requires inspections (as it should), look at the inspector’s credentials. You should particularly watch for people involved in insect or pest control. There are a large number of individuals who work in these areas that do not hold the proper credentials. You want to avoid a future liability that can come after the sale, if the inspection was not correct.
If you have the intention of offering your commercial real estate for rent, look for buildings that are simple and solid in construction. A well-built building will attract tenants quickly because tenants want a property that is solid. Buildings like these are also easier to maintain, for both owners and tenants, since repairs are going to be required less frequently.
Always keep tenants, otherwise, your commercial property will end up costing you money instead of making you money. If no one is paying you rent, you’ll be the one footing the bills. If you’re struggling to keep your properties rented, you should consider why that is, and try and fix anything that might be scaring away prospective tenants.
Commercial real estate can indeed be a huge source of profits. You have to invest a large down payment, sufficient time and enormous effort if your investment is to succeed. Follow these tips to success.
There are tremendous opportunities for small businesses and social entrepreneurs to support their communities through community foundations, donor advised funds and other means of giving back. Find the neighborhoods in
Portland, Oregon where you can make the most impact on education in the community.