|Buying Property Tips#1: Choose the Right Location|
|Before you choose a location, it is of utmost importance that you consider the development prospect of the area. Other factors to consider here is crime record of the area, availability and nearness of public facilities and utilities.|
|Buying Property Tips#2: Study the Local Market Dynamics|
|It is important to get well familiar with the local realty market. Learn the variation in property prices by street. Don’t shy away from asking a few realty investment agents questions to get better insight on the matter.|
Renting out commercial property is a good source of income and most owners will agree with this. However, to enjoy this monetary benefit it's very important to keep your tenants happy because only happy and satisfied tenants will lead to more tenants and a higher income in the future. This article will focus on things you need to consider when renting your retail property and sustaining peaceful tenants.
1) Keep the property in good condition
Your property may be new and shiny at present but it will require maintenance once it is occupied and as the owner of the property it becomes your obligation. If you turn a deaf ear towards a problem that your tenant is facing then it will only lead to arguments and destroy your reputation as a property owner. Therefore, it is best to be attentive and address any issue that your tenants may be facing at the earliest. Most commercial real estate NYC owners hire a property management company to ensure their tenants do not face any issue.
|Buying Property Tips#3: Choose the Right Property|
|Getting the right property right away is quite unlikely. First, you need to be clear on why you want to buy an investment property. After that, you will be able to make right decision based on factors like remoteness or accessibility of the property.|
|Buying Property Tips#4: Do the Math Properly|
|Get a precise idea on the value of assets you have available. If you are investing in rental property, make sure you can easily cover the mortgage payment through rents. Additionally, get a clear idea on the appraisal value of the property beforehand.|
|Buying Property Tips#5: Consider Additional Expenses|
|When purchasing an investment property, it is not only the selling price that investors need to consider. There are various additional expenses such as property tax, home owner’s insurance, repair & maintenance that must be considered.|
2) Conduct regular inspections
While you are obliged to pay for maintenance, as a responsible owner it is your duty to conduct timely inspections to check whether your property is safe. Tenants will easily bring maintenance issues to your notice but on the other hand they fail to report problems that were caused by them simply because they will be held liable for it. Regular inspections will keep your property safe and your tenants alert.
3) Maintain good relations
Maintaining good relations with your tenants is the key to cooperation. When their problems and grievances are addressed on time they will be happy to stay for a longer time. However, be sure to check the problem thoroughly before finding a solution. Just because you have to maintain good relations does not mean you let errors or misdemeanours slide.
4) Stay realistic
Sometimes even the best tenants can cause serious damage to the property; these may be unintentional but always be realistic while dealing such situations. If you are not familiar with the laws pertaining to commercial real estate in Brooklyn, NY then its best familiarise yourself or hire a property management company who will handle such incidents for you.
|Buying Property Tips#6: Inspect the Property|
|To ensure that you are getting everything you are paying for, a thorough inspection of the property is essential. Besides ensuring that you are not overpaying, a rigorous property inspection also gives you a good estimation on what the additional expenses might be.|
|Buying Property Tips#7: Pick the Right Financing Option|
|While interests on investment property loans are tax free, some borrowing costs aren’t immediately tax deductible. Knowing that, and structuring your financing in accordance is crucial. Don’t hesitate to ask for help from a financial advisor.|
|Buying Property Tips#8: Invest through Equity|
|One of the best ways to purchase an investment property is to leverage the equity of another property (including your primary home). This is a preferable way among regular investors, especially due to added tax deduction advantages.|