Common Mistakes of First-Time CRE Investors
As an investor you want to be ahead of the pack in purchasing South Florida commercial real estate, and as there are some excellent commercial real estate deals to be made, you still have to be aware of common mistakes to avoid including:
It is critical that you examine all aspects of the commercial real estate deal before you even consider closing. Be aware of all of factors which can turn this “too good to be true deal” into a bad commercial real estate investment.
Never Over-Extend In Borrowing
Your South Florida commercial real estate investment may seem too inviting to ignore, but if it means you are borrowing more than your capital, renegotiate for lower terms. It is never financially prudent to borrow above your ability to realistically pay off the debt. That tremendous deal can send you to the financial poor house.
Know Area Market Conditions
Never walk into a commercial real estate deal without having a total grasp of the local real estate market conditions. Be aware of the nature of the property’s ability to turn you a profit, and how long you can hold onto a great property in a bad market climate.
To discuss opportunities for investing in South Florida commercial real estate visit our website www.miamiofficeleases.com.