Buying Commercial Property Is Not Always A Good Idea
You've been looking all day for good tips on commercial real estate but have found nothing of use so far. It can be frustrating with the amount of unverified information out there. Pay close attention to the tips provided in this article and you should find plenty of good information to help you on your way to being an expert in the subject.
Record problems by taking digital pictures of them. Make sure the picture shows the defects (such as spots on the carpet, holes on the wall or discoloration on the sink or bathtub).
In order to secure the very best available terms for escrow on a real estate deal, the escrow arrangements should be reviewed by a professional with experience in the field. A real estate agent, financier or investment professional can examine the paperwork in detail, and let a buyer or a seller know if they are being taken advantage of.
Invest some time in learning about how the real estate market works. Read some books or online resources to find out the best ways to go about investing your money into your future home. This will help you with the lending, selling and purchasing aspect of the real estate market.
If you own a rental property, make sure you fix any repairs quickly. The fastest way to get a bad name in a community is to not fix those repairs. If people are living in the home they will really appreciate it if you can fix what is wrong right away. This will make you a good landlord.
Think about getting in commercial real estate with a partner. You have to be able to trust this person and agree on a way to share the benefits. If you are only using a partner for financing, simply pay them back. A partner can help you by sharing his good credit and will spend time looking for deals with you.
When you are buying commercial property, it is better to buy more because it is cheaper per unit. Why go through the bother to purchase a property that has only 10 units, not to mention, jumping through hoops to get financing? Since you are going through so much already, you may as well do it for a much larger property.
Always read and understand your lease agreement. Find out in advance what is and isn't covered in your lease. Verify whether or not certain costs, like property taxes, snow removal, landscaping, maintenance, utilities, trash collection, cleaning, insurance are included in the lease agreement. Clearly understanding your lease ensures a healthy business relationship between you and your landlord.
Take a digital camera along with you when you go to check out potential properties to invest in. You can use the video function to record your thoughts as you are looking through the property. This will make it much easier to keep your facts straight if you are looking at multiple properties.
When shopping for commercial real estate, using a property broker will save you a great deal of money and time. The broker will do a good bit of the grunt work for you and will be able to broker a better deal for you as they have a better knowledge about the market and more information about it.
Before you negotiate a commercial real estate lease, you should check out other leases. Talk with the other tenants that have comparable space and compare the different rates and terms for their leases. You need to know this information so you can get a feel of the rates check here and terms that you should have on your lease.
Keep in mind that you are buying something to make money out of it, not simply to own it. When looking at apartment buildings, think about how much people would be willing to rent these apartments for. You can also make money by re-selling your property after a few years, but this is not the main goal of commercial real estate.
Do not try handling more than one investment at a time. Once you have completed a transaction and your buildings are ready and rented, you can start thinking about the next one. Make sure you spend enough time on each transaction. If not, you will miss some details or make mistakes.
If you are not making enough money with your investment, consider raising the rent. You should justify this increase by explaining to your renter why you cannot afford to manage your property with the rent they are currently paying. Give them enough notice so that they can look for something else if the new rent is too much for them.
Once you are ready to rent your apartments, you should select renters carefully. Make sure they have a steady occupations and that they will be able to pay the rent. You also want to find renters that will not ruin your apartments: this will cost you money when you have to fix your buildings.
If you have a commercial property to sell, make sure that you put in on the market while it is active. The prices of commercial real estate go up and down often depending on the state of the economy. If you sell while things are in an upswing you can expect to make large profits.
You can do a lot with LinkedIn. Create a good profile for yourself and communicate actively with potential customers and partners. If you are not getting results from your LinkedIn activity, focus on a different kind of audience. You can also create a group yourself where you can keep people updated on your progress and on new opportunities.
To manage your commercial real estate building wisely, make sure the property does not experience a high degree of vacancies and you will be able to control your cash flow well. If you have a lot of tenants in the building, it's a good idea to write the leases in such a way that they do not all expire at once. If all the leases run out at the same time, you may find yourself with an empty building!
Knowing how the market actually operates in the field of commercial real estate will empower you with the tools to succeed. Unless you know exactly what you're doing, however, you should stay away from the market completely. Read these tips and be sure to use them before dealing in commercial real estate.
Military Residents File Lawsuit Against Housing Companies Over Contaminated Water
Military housing residents who were displaced from their homes by fuel contamination in the Navy’s water system filed a class-action lawsuit on Friday against their property managers.
The lawsuit filed in Circuit Court states that the companies that operate the housing communities had a responsibility to deliver potable water but that the water supply has not been “sufficiently protected from the risk of fuel contamination.â€
Joint Base Pearl Harbor Hickam Housing located around the Halsey Terrace and Aliamanu Side of the military base.
Thousands of residents moved into hotels amid the Navy’s water contamination crisis.
Cory Lum/Civil Beat/2019
“There are thousands of people – both military and civilian – who have been displaced who didn’t get what they paid for,†Terry Revere, one of the plaintiffs’ attorneys, said. “They’re supposed to be provided with safe drinking water and a habitable place to live, and they’re not getting either one.â€
The case was filed by Michael Casey, Payton Lamb and Jamie Williams against Ohana Military Communities, Hunt MH Property Management, Island Palm Communities and Hickam Communities, the complaint states.
The plaintiffs argue that they have overpaid for rent considering the defendants’ failure to provide “a safe and healthy home†and that they can no longer enjoy their homes or communities.
They allege that the housing companies failed to warn tenants about the location of the Red Hill fuel facility 100 feet above their drinking water source and that the drinking water was at risk. Families were also “wrongfully evicted†from their homes after the contamination came to light, according to the lawsuit.
They are seeking unspecified damages and attorneys’ fees.
Civil Beat did not receive a response from the defendant companies.
Families began reporting a fuel smell in their water and various physical ailments around Thanksgiving. Since then, the U.S. Navy has acknowledged that leaks at its World War II-era Red Hill fuel facility contaminated the Red Hill shaft, a drinking water well located a half-mile from the fuel farm, with jet fuel.
Over 3,000 families have moved into hotels amid the crisis.
Meanwhile, the Hawaii Department of Health ordered the Navy to drain the tanks until it demonstrates it can operate them safely, but the Navy is fighting that order. The Navy continues to work on remediating the contamination and investigating how it occurred.
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