Choosing the right Commercial Property
Commercial real estates are in most cases investment or income properties. It includes offices, malls, restaurant, shopping complex, warehouse, multi-family apartment, multiplexes, etc. Many people swear by commercial real estate as a great opportunity to get huge returns on investment and it has indeed turned out to be gold for many an investor. But be warned that as an investment proposition it is far riskier than residential properties.
The first rule therefor always is caution. Anyone who plunges blindly into the trail of others is surely going to regret sooner or later. One should start by finding the right developer and find the right place for them at the right prices.
For investors, choosing the right property developer is extremely important in order to generate high return on investment. Some attribute investors should keep in mind when approaching commercial real estate developers is market reputation, services of developers, and quality of work. Investors should visit the previous property developed by them and whether they turned out to be what was promised when they were marketed.
According to Mr. Anil Mithas, CMD of the Unnati Fortune Group, “It is very important to find out whether the developer has enough expertise to anticipate growth of commercial space requirements in a particular area. Otherwise you may be stranded with worthless commercial property for years to come”.
Real estate investment strategies in India can be of two types: short-term investment and long-term investment. Depending on your requirement and money availability, time span and several other factors (for instance, you might want to cash it for your daughter’s wedding) come into play. Are you looking for better money flow, greater long-term investment with wealth accumulation, or do you have other short-term goals? Speak with a real estate agent that has a solid real estate investment background who can find out your needs.
With a long-term strategy, investors have to consider if they can hold onto the property for ten years or more. The slow, but steady, pace of long-term investments continues to grow over the years and can reward the investor with high returns. Moreover, it offers a lifetime of income and tax benefits.
Whatever be your strategy, when done with a logical approach, commercial real estate has the power to make you wealthy in a relatively short period of time. So go ahead and diversify your investment portfolio.
Source- http://unnatifortune.com/