What are the real estate commercial prospects for the small investors?

What are the real estate commercial prospects for the small investors?

The affair of investment into property is no big deal for the big investors but holds a great importance to the small ones. With the advent of time, there have been better prospects for them on the commercial property platform. A great notion has been that only the big firms and High Net Worth Individuals can buy official space but the developers in the present times proposes good projects for the small investors as the vacancy levels are high. These investors are always free to invest on small commercial shops placed at a shopping plazas and malls. And these are smooth to be leased out.

The director of Arun Realtors says that government has allowed running a commercial space in a residential area in Gurgaon. The ground and the first floor can be used for the commercial motives and the top floors for residing. It is also advisable for the small investors to make investment in these small sized commercial properties to gain good future returns. The small investors should make complete research of the property to be invested before the investment is done. The location should be of prime importance and he must check on the infrastructure and the availability of basic amenities like water, power, transportation and sewage etc. The location’s closeness with the commercial areas, educational hubs and hospitals should also be considered as these are important for a fast rate hike in future.

The next thing that he must keep in his mind is a thorough verification of the developer, the excellence of his construction and his delivery report, everything must be checked. If one is eying a commercial shop then factors like frontage, footfalls number and catchment area should be properly ensured. If the investment is for an official set up then it should be ensured that the location has the presence of all the amenities that are required for running the business. For the business establishment, the property investment should be done according to the following:

  • Vacancy levels of different buildings in the locality.
  • Information on property tax, building insurance and payable monthly maintenance.
  • Terms and conditions of lease.
  • Property appreciation and the price at which refurnishing would be done.

If all these are comfortably met, then making an investment is definitely going to reap good interest in future. This would probably be higher than the interest one would get by a fixed deposit in a financial bank. These investments are made safe by assured return plans (ARP) and the rate can be discounted and adjusted if the property falls in the category of an upcoming assignments. Under these schemes, the investors might at certain times have to pay the entire amount in one go instead of installments. The investor should smartly handle this as the property’s original cost is hidden and is generally higher than the market value.

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