Are you thinking about investing in commercial real estate of New York? Any type of real estate, whether it is commercial or residential, it can be a good investment to make. Especially due to the Coronavirus pandemic, New York’s real estate value has dropped to a great margin. So, it is time to invest your money in New York’s commercial properties over residential properties. Here is a complete guide explaining to you about the advantages of investing in New York’s commercial properties!
Future income potential: Commercial properties in NY generally bring an annual return from 6% and 12% of the purchase price, depending on the area. After you buy a real estate in New York, you can immediately put it up for rent. Via renting the property to retail tenants or businesses you will have a long-term source of income every month. Besides, the value of your property will only grow with time!
Public eye: New York is a prime hub where you will find so many retail tenants running their stores and storefronts. If you invest in these properties, then the owner maintaining the store and storefront will bring interested retail tenants to rent your property. This also helps in improving the property quality as well as the value of your investment.
Objective price evaluation: One you invest in a real estate property, you can easily put it on rent under your terms. Plus, you can check out the current owner’s income statement to determine what property price can be the most profitable. Even if you are buying it via a knowledgeable broker, you can ask for a reasonable property pricing and earn a better prevailing cap rate on that commercial property.
A professional relationship: Once you invest in commercial real estate, you can treat it as your small business. You can put it on rent and show the retail tenants that the property is for business use and is managed by professionals. This is a great way to maintain a professional relationship with the tenant whom you are letting rent your property. So, maintaining a business-to-customer relationship becomes much easier.
Triple net leases: As the owner of the commercial property, you don’t have to pay any expenses. So, you can relax about paying triple net leases. Instead, you will pay for everything via the real estate taxes. This is the only expense to pay is the mortgage. Sp, the companies which will rent your property will be paying different leases to maintain their brand quality. As a result, you have to pay the lowest maintenance costs as a commercial property investor.
As you now know the advantages of buying commercial real estate in New York, think about it and check out the available best real estate properties online. Go through the property details before investing. You can consult with the broker and the previous owner to determine the best purchase price. But, if you invest in New York’s commercial property, you will never regret that decision!