If you are interested in buying your first commercial property, then it's important that you understand that this purchase is going to be different than buying a residential home. Commercial properties come in around five different forms including multifamily structures, office buildings, industrial complexes, retail units and hospitality buildings. Investors often invest in these property types to either start a business or lease out the space. Both ideas, can result in potential revenue increases if you have a well thought out plan. Below are things to do before you buy new commercial property:
1.) Inspect the property and do your due diligence.
As a part of the buying process, you should inspect the property. You usually only have around 30 to 60 days to do so, so you will want to bring in a team to inspect the property as soon as possible.
2.) Get an appraisal
If you haven't done so yet, get an appraisal on the property. You should be sure that the property is valued at the price you've offered and that it is in the condition that you expected.
3.) Get a property survey
A professional property survey is essential. While you may have a number of options for surveys, go with a complete survey so that it covers all your bases. Remember, this purchase is a major investment, so you should make sure your survey and inspections come back as expected before going through with the purchase.
4.) Check the title
It is imperative your verify title and make sure the property does not have any clouds or other issues, like judgements, liens or outstanding taxes that could have a negative impact on your purchase.
These are a few things to consider as you focus on buying a commercial property, it is not a comprehensive list. Reach out to Hayes Legal Solutions, PLLC at 405-635-5578 for guidance with your commercial real estate transactions.