According to Ray Martin of Martin Caselli Real Estate, commercial real estate refers to all properties employed for the purpose of business, usually rented out to create a work location.
Investing in Commercial Real Estate
Investment in real estate business can be quite rewarding and can also serve as a good hedge against the volatile nature of the ever-fluctuating stock market. Landed assets always rake in money for investors via appreciation of the property over a reasonable period of time and the commensurate development of the location when they are ready to sell, but quite a number of returns come in form of rent payments from tenants.
Advantages of a Commercial Real Estate
The lucrative pros of commercial real estate lie within the interesting lease rates and the frequency of returns. Rewards from commercial real estate ensure good amounts of cash flow; especially the longer lease contracts entered with tenants.
Disadvantages to Commercial Real Estate
Legal restrictions represent the major deterrent for a majority of people who may have decided to invest in commercial real estate. Taxes, maintenance responsibilities, zoning, size are some of the other factors affecting commercial real estate adversely.
Who Should Invest in Commercial Real Estate?
Those who have a business, for starters. It can be financially beneficial to own your own work space rather than to rent.
Those who either have a considerable amount of knowledge about the industry and its legal, financial and regulatory aspects represent the people who are considered best suited for investing in commercial real estate.
How to Invest: Directly
Top Estate brokers such as Martin Caselli Real Estates have a range of listings nationwide. Another investment channel for direct investment in commercial real estate is through real estate investment trusts (REITs). Ensure to use established brokers, Martin Caselli Real Estate REITs hold a portfolio of properties (as mutual fund holds stocks or bonds) but are publicly traded; this makes them easy to buy and sell and provide liquidity in a field that is obviously lacking.
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Ray Martin
Ray Martin, Ray Martin Stratford, Ray Martin Easton, Ray Martin Connecticut, Ray Martin Real Estate, Martin Caselli
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