Is Commercial Property a Worthy Investment?

Experion Capital / Is Commercial Property a Worthy Investment?

Investment and real estate have always gone hand in hand. With changing times their relationship has only become stronger with new technology easing the process in recent times. Even with equity options and mutual funds emerging as new favourites, young investors are still opting for real estate directly or indirectly. A new demand for commercial properties has risen. Hence it is only justified to analyze this trend.

1. New-Age Options

The youth today, make up a great percentage of investors in today’s time. They are looking for new ways of investing and the good old real estate doesn’t fail them. The real estate industry is growing at a rapid rate and various options have emerged which can be utilised to earn good gains. Investing in commercial ventures can be a game changer for investors looking to invest in real estate.

The general impression is that buying/ selling a house or renting is the only way of gaining income, however, there are endless opportunities other than putting your money in the housing industry.

The new technology has made it possible to conveniently carry out a major part of the long procedure. There are other newer means of investment like REITs which provide the members exclusive offers and the opportunity to invest without directly owning land. The concept of buying virtual spaces is also very luring as it comes with the same benefits that a complete unit offers.

2. Easy Rentals

The market of commercial properties is thriving lately. When done right, investing in the industry can generate hefty capital gains. Commercial properties are different from residential properties in many ways. One must note the critical difference in buying both types of properties is that commercial properties have an acquisition process with a few steps more than that residential properties. But once that is taken care of renting the commercial spaces is definitely better.

Rentals make for a major chunk of returns from a property. It is worth noticing that there is one major benefit of buying commercial properties in this society is that the rentals are flexible and stable. Commercial properties are catered for entrepreneurs. The business cannot shift to different locations. It can maintain its success if it exists where it was established. So the tenants are fixed for the long term. Therefore, the leases cover five to ten years duration in the case of commercial properties. Further, the rent can be determined as per the objectives of both parties involved.

3. Ample Options

As the country is witnessing economic growth, the real estate sector is expanding too. A number of striking developments are being completed. There is no dearth of options for investors. These options include upcoming projects for retail spaces, plotted projects and other mix-use developments where people can invest depending on their preferences. Many new projects that are being launched have already become the talk of the town.

In conclusion, it is apparent that investing in commercial property is a great investment opportunity. Given that there are so many options to choose from with new-age technology ready to assist you in the process.