When it comes to property investing it can often pay to think big as the returns can be greater, so what sort of opportunities do you need to look out for?
Searching for big-ticket investments will invariably mean that you will be buying commercial property and, as with any real investment option, it helps if you know how to search out the deals that are going to deliver the best returns.
As with residential property investing, commercial property operates to a similar set of rules but at a much larger scale. Your potential investment return will often be determined by the locality of your chosen commercial property and it is an aspect of the deal that you have to pay close attention to.
A warehouse in a prime location with good transport access will often command a higher rental premium and that means your ROI will be greater if you choose your locality with care.
A longer period to make money
A distinctive aspect of commercial property investment is the fact that leases are often longer-term which should provide you with rental income for longer. A commercial lease signed by a tenant for 10 years has a decent value and negotiating a deal with a long lease can often prove to be good business.
Don’t disregard the short-term deals
You can sometimes turn a profit by investing a property that is located in an area that has been designated for regeneration. When the area gets that boost and you have secured planning for a commercial property that could easily add value without having to do the work yourself, allowing you to make a relatively quick profit.
What type of property?
Another good tip would be to decide which type of commercial property investment you are interested in.
You might decide that retail premises offer more chances to make money than offices or industrial sites. Whatever your view, knowing what you want to invest in will give you an edge as you will become savvier about what represents a good deal.
Think about leasing
It is also worth bearing in mind that you don’t have to buy a commercial property outright to make money.
Some shrewd property investors decide to lease a commercial property and then find a way of generating a profit that more than covers their own financial outlay.
Different ways to invest
Another way to look at property investment involves the different scenarios that you can exploit when it comes to putting your cash into property.
It can often pay to seek out professional guidance from tax and property consultants so that you can structure the deal in the most efficient way possible.
You might decide to create a property investment company or you could even pool your resources with other investors to create an investment fund.
As you can see, there are numerous ways to invest in commercial property, and making money from big-ticket investments is certainly possible if you approach each opportunity in the right way.