Commercial Property Investment is a broader term that includes Shop, Office Space, industrial property, hotels, malls, retail stores, farm, Land etc. It is non-residential properties that used for the investment purpose. You can find property in Himachal (Shimla, Barotiwala, Chail, Chamba, Dharampur, Kasauli, Nalagarh). It has been a popular source of investment for investors.
Most of the people starting investing in Commercial Property because it becomes a good medium of investment. These properties typically offer more financial reward than residential properties. If you want to invest in commercial property then Keep the following points in mind while investing:
1.Location of the estate.
2.Quality of estate.
3.Demand Vs Supply.
4.Market rent Vs In place rent.
5.Quality of tenants.
6.Lease Structure and Security deposit.
Positive Reasons to Invest in Commercial Property: income potential, professional relationship, More objective price evaluations, Triple net leases and More flexibility in lease terms. For long-term investment, commercial properties offer the potential for huge progress. It gives Better rent return and Better depreciation benefits. Investment estate generates fixed returns to the investors. It can create an income, and it can prove to be a good long-term investment. It is a good idea to generate cash reserves. Things to Consider When Buying Investment Property (Plan on a big down payment, income varies, Property taxes, Beware of fixer-uppers). Here are some reasons why an income property can be such a lucrative investment ( Rental Income Is Money in Your Pocket, Huge Tax Write-Offs for Income Property). So, an overall estate is a good investment.
Benefits of Commercial property:
- Unique security advantages.
- Excellent appreciation of assets value.
- Comfort, Constancy and Collateral value.
- No rent control laws, strictly.
- Reduced chances of default.
- Strong returns and Stability of income.
- Exposure to different sectors of the economy.
- Tax benefits and Leverage.
- Investment control.
- The ability to add value.