Valuable Tips About Commercial Real Estate (2)
Valuable Tips About Commercial Real Estate
A lot of people gravitate to commercial real estate simply because they believe it’s an untapped goldmine. Well, you need to be extremely careful if you’re trying to profit through this fickle market. Understand what you’re doing first. Start out by reading this collection of tips dealing with commercial real estate.
One thing to think about when purchasing commercial real estate is why the previous owner is selling it. Sometimes, they are selling it because of a problem with the property itself. For example, it could be prone to insect infestation, or perhaps in a more bizarre scenario be the target of repeat break ins due to a vendetta.
You should take measurements yourself to make sure that the landlord is being honest about the square footage. If you find that they aren’t, then you can use all of the information that you have to try and negotiate a new deal.
Have a business attorney who is a specialist in real estate review your documents before you go in looking for financing. The lawyer in his review can make sure that everything is in top shape and can recommend any changes or additional information you should get beforehand.
Get your financing taken care of in advance. Down payments on commercial properties are normally higher than on residential properties. That being said, lenders are more lenient about where you get the down payment money from, often allowing you to borrow the money from someone else. But before making an offer on a commercial property, talk to a number of different lenders, as you may not qualify for a loan from all of them. The last thing you need is to have your offer accepted, only to find that you can’t get a loan.
It is important to attract the correct crowd when trying to sell your commercial real estate properties. This is important because then you will not have to waste your time with people that aren’t looking for the type of property or people that don’t have the money for your specific property.
There are so many apps now which benefit your commercial real estate deals, so get an iPad and start using them! For example, the Noterize app permits you to alter documents right on your iPad without ever having to print them, including notarizing and redlining. Get up to date and increase your efficiency.
Many commercial real estate investors seem to forget that they do not have to jump on the first offer presented to them. Negotiating is key in getting better deals on property as a commercial real estate investor. The more persistent you are in your negotiations, the better the chances of your business thriving and your success as an investor.
You always need to know what you’re doing. That’s not anything you don’t already know. What you might not have known prior to this article, however, was how you could use simple common-sense tips and tactics to achieve in the commercial real estate market. Now the rest is up to you to make it happen.