Is Commercial Real Estate a Worthwhile Investment?

If you have been investing in residential real estate for some time now, you might have been considering commercial investments.  The absolute best way to get involved with investments is by doing research, getting advice, and contrasting the familiarity’s with some of the differences.  Knowing the pros and cons before getting involved in a big purchase can help you weigh your options and find out what is best for you.

One major difference between commercial and residential real estate is how the bank values them.  Commercial bank loans tend to require a higher down payment that can easily be more than 30 percent.  Check with your lending institution to find out if they deal with commercial real estate. We have a list of commercial lenders we have worked with in the past, just contact us today and we will be happy to provide them to you!

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Commercial real estate offers the potential for increased cash flow and higher stability.  Renting out several spaces in a multi-unit property means more income, and the return is usually higher per square foot if you’re getting the full potential out of the property.  This can also mean less risk. If one of several tenants leaves, you will only lose a portion of the return.  Commercial leases offer steady income because they are also usually much longer in duration.

As with both residential and commercial investments, it is always important to ask questions and do your research.  There are many parts to look into when purchasing commercial real estate specifically.  Some of these include questions about former management, lease renewals, population income, and the seller’s cash flow statements, among others.  See our Top 10 Do’s and Don’ts of Purchasing Commercial Real Estate- click here.

Source: Entrepreneur Article 

 

Jacksonville in The Top 20 Best Markets for Single-Family Rental Investments

According to the Jacksonville Business Journal, Jacksonville was placed in the top twenty “best markets” for single-family rental investments in RealtyTrac Inc.’s “20 Best Markets for Buying Single Family Rentals” list.

“RealtyTrac came up with the list by analyzing median sales prices and average rental rates for three-bedroom homes and using that data to calculate capitalization “cap” rates and average cash flows.”

That being said, other Florida cities made the list also, including:

  • Daytona
  • Lakeland
  • Ocala
  • Orlando
  • Palm Bay
  • Port St. Lucie
  • Tampa

Gulati Law can assist you with the purchase or sale of your property, as we have an affiliated Title Company that offers title insurance and many other services for real estate investors, purchasers, or jobbers. If you are a real estate investor, or a first time home buyer, contact us today, our Attorney is not only a  licensed Florida Real Estate Agent, but also a Florida Real Estate Attorney.

 

Source: Jacksonville Business Journal

Hiring A Real Estate Attorney Is An Important Decision

Hiring a Florida Real Estate Attorney for your purchase, sale or investment is one of the most important decisions to consider when first becoming involved in real estate. The right Attorney will keep you informed, on track and lessen your liability for any title defects.

At Gulati Law, our practice primarily focuses on Real Estate and Business Law, in which we offer our clients all forms of title services, including title insurance. Attorney Gulati is not only a Florida Real Estate Attorney but also a Florida Real Estate Sales Agent licensed with the Florida Board of Realtors.

Attorney Gulati is also a member of the Orlando Regional Realtor Association, which creates, maintains and enhances a business environment that contributes significantly to the success and the prosperity of Central Florida. As a property manager, landlord and real estate sales agent, Ms. Gulati realizes the need for legal representation in handling real estate transactions.

For more real estate questions, please contact our office today, we will be happy to help.

Florida Real Estate Closings!

A Real Estate Closing is one of the most important steps in purchasing or selling your property.

Buyers do not want to buy a property with a defect in title and Sellers do not want to have any liabilities after closing. For this reason it is important to consult with a real estate attorney who has conducted real estate closings before, and knows exactly what potential title defects to look for.

Gulati Law is affiliated with its own title agency in order to conduct residential, commercial and construction/developers closings.

Contact us today, if you are purchasing or selling your property, business, or land.

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