New York Real Estate

As a successful property investor, you will want to make a commercial property analysis of any real estate deal before you consider making the purchase. There are many factors which you should take into account while making your property analysis. Some of these factors which you should look at are: the location of the property, the price, taxes, local government and zoning laws, potential rental income, as well as the options you have for obtaining the property using an investment property mortgage loan.

Commercial property has many guidelines and regulations which must be followed. The last thing that you want to do is purchase investment commercial property, and then find out once you own it that you cannot lease it to the business you want, or that zoning permits you from using the property how you would like to. Whenever you are reviewing a commercial property analysis, it is vitally important to find out about the local governmental rules and regulations which will govern what you can and cannot do with the property in question. Look at what you had planned for the property and make sure everything is in agreement.

Taxes can be a big consideration when you are making a commercial property analysis. Some local areas offer tax incentives for commercial property owners and to certain businesses. If your property can meet the guidelines then you could possibly see a nice tax reduction. Also, if the area taxes commercial real estate at a high rate, you could be in for a real surprise if you did not consider taxes in your commercial property analysis.

Just as there can be tax incentives to buying commercial property in a particular area, the same can be said for financing options. Many commercial lenders have programs which fit a variety of different business and community needs. If your property qualifies you can see a nice reduction in your mortgage interest rate.

Another consideration is the rental rate of other commercial properties in the area. If many properties are sitting vacant that is a sign that you may have serious trouble renting to a business and keeping them for the long-term. This is important for your commercial investment analysis because the rent money is your income on the property.

In addition to all of the above considerations, the usual considerations still apply. You need to look at the location of the property and determine if it is in a good enough location for what it will ultimately be used for. What is the area around the property like? Will people likely come to the location if a business starts there? Who are the residents of the local area and will they benefit from your property’s use?

You will need to look at the land and buildings and determine how much work and cost is likely involved in bringing things up to code and working order. Look at the offering price and consider if it is reasonable or if it needs to be adjusted because of the things you have found while looking at the other factors for your commercial property analysis.

While performing a commercial property analysis you should take all of the above into consideration. You also might want to consider hitting the pavement and talking to people in the area of your potential property purchase. See what the people who already live and work in the area think about the property.

By: Andrew Stratton

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With a slowing domestic economy, the United States has watched a decline in all of its markets, especially the housing market. However, this decline has helped keep New York City’s housing market alive through foreigners. With the continuous deprecation of the dollar and the value of Manhattan real estate, foreigners are now seeing property in the city as a smart investment.

Before, foreign companies doing business in New York would have to put their employees in temporary housing while visiting, but now they are buying condos and having the company serve as the landlord. This is saving foreign corporations thousands of dollars. Temporarily housing an employee in New York City used to be a very expensive aspect of doing business. Many companies used to pay upwards of $4,000 a month in rent for employee housing.

When a firm owns real estate in New York, they are not only saving money each month, but they also hold an investment. New York City real estate has the potential for growth regardless if an employee is currently living there or not.

During recent years, the New York real estate market has remained on a rise, making property even more desirable. However, in international real estate, property in the Big Apple is almost considered cheap. According to a recent survey, New York is the 15th most expensive city in the world, falling behind Moscow and London. And as foreign currencies continue to hit record highs, owning property in NYC seems like an even better deal. When a European buys into Manhattan real estate, they are almost instantly doubling the value of their money due to the exchange rates.

Investing in New York City property is the best option for so many international companies. This growing foreign interest in Manhattan property is actually helping to keep New York’s real estate market alive. Even with a nationally recessing economy, New York City’s economy and housing market remain above the national trend.

By: Christine Abbate

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