Congratulations on considering an exciting investment move into commercial realty. Commercial realty can be extremely rewarding, but getting started can feel daunting. Here are a few things to consider as you take this next step:
Connect with the experts.
Figure out who you already know in commercial real estate, and give them a call. Reach out to professionals in as many different areas of the field as you can and ask them if you can pick their brains. Network, network, network. Learning about the field from local and regional investors will help you sharpen your focus. Remember, this is their full-time job, and they’re good at it. Consider hiring a commercial real estate agent, such as Peggy Young, to act on your behalf.
Determine how much you’re willing to invest.
Crunch the numbers and decide exactly how much capital you want to invest. Now consider what type of property will best meet your needs. Don’t be afraid to start small. Commercial investors can get started with as little as 15-20k in today’s market. But most importantly, invest time and effort into getting your own finances in order. This may take months or even years, but make sure your personal finances are in great shape before taking the leap into real estate investment. You will need to look at other essential financial needs as well as factoring them in when you are in your planning stages, for example, if you are looking for landlord insurance in QLD, you are going to need to see how best to get that started and contact the relevant professionals that can help you.
Work with an established local broker.
Don’t make the mistake of diving into commercial realty alone. Working with a commercial real estate broker will not only help you find the ideal property, but the perfect community as well. A great broker will find you a property that fits your budget, has a good tenant mix (if applicable), and is in a community that will be most conducive to your potential tenants and customers.
Plan and be patient.
Commercial real estate is a “get rich slow” type of investment. It takes careful planning and a commitment of time to reap the returns. Utilize the expert knowledge of commercial brokers and accountants to ensure the success of your investment. Carefully chose your property(ies) based on budget, size, location, and property type. Pay attention to the wisdom of those who have gone this road before. While investing in commercial real estate will not instantly make you a millionaire, it is an excellent, sustainable choice for long-term wealth building.
