A compilation of tips on buying and selling commercial real-estate makes for a great beginning point for someone just starting out. The following paragraphs include such a collection and will enable the enthusiastic beginner to grow into a pro in commercial property dealings.
Be sure to negotiate on the fact of what you are, the seller or buyer. Make your voice heard and strive for fair market value pricing.
Commercial real estate involves more complex and longer transactions than buying a home. Remember that the time and efforts you are investing will pay off.
There are many things to consider when determining the best option between two commercial properties. When choosing between the two, think big! Getting enough financing is a huge undertaking, no matter if you get a ten-unit complex or a larger twenty-unit one. Just think about it as the more you buy the lower you are paying per unit, so you save more in the end.
When advertising your available commercial property, do so locally, but also regionally and even nationally. A lot of people do not think that people from out of town will want to buy their commercial real estate. There are a lot of private investors who like to buy properties that are not in their direct area if they are affordably priced.
Before making a commitment, you should request tours of any potential properties. Definitely consider having a professional contractor go with you when looking at potential properties. Submit a first offer and solicit counteroffers. Before making any commitment, you should carefully evaluate each offer and counteroffer.
Write an easy-to-understand letter of intent, focusing on the biggest issues. You can worry about the little things later on. This will make negotiations less tense and make gaining agreement on the smaller issues easier to complete.
You should always know how to get in touch with emergency maintenance. Make sure to consult your landlord about emergency repair responsibilities in your building or office. Know their phone numbers and also what their likely response time is going to be. Take advantage of this information to devise a contingency plan in order to prevent and respond to customer complaints resulting from maintenance issues.
It is sincerely hoped that this set of tips has given you just the information you need to become a successful commercial real estate investor. Keep these tips in mind and you hone your skills and become successful at both buying and selling commercial property.
Whether you are a new or veteran real estate investor, possessing the proper discipline is going to be critical to your level of success. New York Times best-selling author Orrin Woodward published a book called “RESOLVED: 13 Resolutions for LIFE” which covers this topic of developing mindset and personal excellence superbly well. It’s a must-read.