When you invest money in a business, the primary intent is to profit from it. This is why the Bay Area is literally teeming with startups and up-and-coming disruptive innovators – because this locale has been tagged as an incubator of business success.
Then again, is location the only secret ingredient for success in one’s investment?
The commercial real estate sector may disagree with this idea. Because more than location, this business sphere relies on other factors that can determine whether or not a property is worth the investment.
Let’s look into what makes a commercial property worth your time, effort, and money:
It will help you in achieving your goals
There’s no cookie-cutter definition of success in a business endeavor. You can be happy with earning a decent passive income from one house that you set up as a rental. Your happiness could also be defined by hitting the million-dollar ceiling from your condo rentals in various commercial districts and vacation homes in beachfront locations.
So, it’s all about the goals you set for yourself in buying an investment property, especially one in the Bay Area. These goals will hinge on the purpose you set for your property, your budget, and the market climate.
It’s in optimal condition.
A seasoned commercial real estate investor will simply take one look at an investment property and will know that it’s worth putting the big bucks into. But if you’re getting into this for the first time, you may need to seek the services of someone with a good eye, particularly for discreet flaws in the structure.
For this, you may want to hire a home inspector, especially if you plan to get a property for renting out as a residence. Their report can tell you the extent of repairs that may be needed in case you push through with your purchase. And since your aim for the short term is to get the property rented out at the soonest time, you’d prefer to see a report from the home inspector that will show only minor defects that can easily be repaired.
It gives ultimate value for money.
The best real estate investments in the Bay Area are those that present a reasonable and well-researched price point to start from when negotiating a purchase. There’s a host of nuances that need to be considered in property valuation as these will have an impact on both direct (e.g., mortgage financing) and supplemental (e.g., taxes, insurance) financial conditions. Even the local market climate can affect this valuation.
Given the more technical nature of this aspect, it helps to have a trusted San Francisco real estate agent by your side. This expert will interpret the jargon for you and explain the more abstract terms involved from going through the comps to the cost and income approaches.
Find a guaranteed expert for your planned real estate investment
The ideal person to help you navigate the tedious process of buying a good real estate investment should be someone with an intimate knowledge of your preferred location for your endeavor – someone who specializes in dealing with local commercial property investments.
In San Francisco, I am the real estate agent you can rely on for assistance in choosing the best commercial property that ensures a future of great returns in your investment. I’m Amir Hardy – call me today at 415.602.0570 or send an email to amir(dotted)hardy(at)compass(dotted)com.