1. How to Prepare for That First
Investment Property Purchase

2. Buying commercial real estate is not for the faint
of heart. Following are some essential tips that
will help investors through their first commercial
property purchase:

3. Prepare Financially: Commercial
investments require a larger
down payment than residential
properties. It is not unusual for
mortgage lenders to require 20%
down in order to purchase a business or
commercial property. Investors must also have
capital in reserve to make upgrades to the property
or sustain the initial business.

4. Select a Qualified Commercial Real Estate Agent:
Commercial property sales can be
very complex for an unfamiliar
buyer. A real estate agent can
educate you on the process of
buying, explain about any pitfalls
and identify properties that meet
your criteria.

5. Decide What Type of Property to Invest In: Each
property type has unique issues that need to be
addressed. Gas stations, multi-unit residential
complexes, commercial residential mix and retail
buildings all have benefits and drawbacks.

6. Be Confident and Aggressive: First-time
commercial buyers need to go into the transaction
informed and knowledgeable. Buyers will be
required to make quick decisions and work to
deadlines with their realtor. By being confident in
your decision and aggressive with your offer and
negotiation you’ll get the best deal possible.

7. First-time buyers seem to have a
major hurdle to overcome when
entering into commercial real
estate investments. By finding a
qualified commercial real estate agent, and
being confident in the decision, investors will
find an investment that will provide profits for
years to come.

8. Randy Bett
www.BetterGroupRealEstate.ca