Source: Forbes —
Many investors find commercial real estate to be a lucrative endeavor. However, it’s essential to understand that potentially increased rewards often involve more responsibilities. Hence, investors must exercise due diligence and follow sound practices when buying commercial real estate.
As most would expect, investing in CRE differs from buying single-family properties. Buying commercial real estate requires investors to crunch more numbers and raise more capital. Nonetheless, investing in commercial real estate can be done with the proper dedication. As a commercial real estate broker and investor, below are my tips on what you need to know when buying commercial real estate.
Defining ‘Commercial Real Estate’
Commercial properties are those that are used for business purposes to generate income. These properties include land, large residential rentals and other buildings. Some common examples include:
• Shopping centers and storefronts;
• Warehouses and other industrial property;
• Condominium buildings or residential housing with more than five units;
• Hospitals and other medical buildings.
Seven Steps For Buying Commercial Real Estate
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