Investing in commercial property/land

waveneygnome

Will you fully finance this from cash - or will you need a mortgage of some sort?
Which region of the country are you - some areas have seen little/low appreciation compared to others.

waveneygnome

I bought my own industrial buildings, one of the best moves I made.  No longer paying rent, have control of the whole building, could install solar on roof, invest in the fabric, then at the end of the day, if my business was to close/fail, I'd still have a building to either rent out or sell.

Its easier to get a loan/mortgage for owner occupied building, compared to buying a commercial building to rent out - the banks will want a much higher deposit.

If you are just looking at bare land, and intend to build a unit yourself.......there is the planning permissions, time/delay, distraction from the 'day job', but also the build cost.  Where I am,  no-one is building new commercial as the build costs are too prohibitive - its cheaper to buy an existing building than build a new one.

thegentleway

waveneygnome said:

Will you fully finance this from cash - or will you need a mortgage of some sort?
Which region of the country are you - some areas have seen little/low appreciation compared to others.

Can fully finance form cash just a unit but looking at one with 0.75 acres of land which would need mortgage with personal guarantees as business doesn’t have 2 years of accounts. I’m in the west mids.

thegentleway

waveneygnome said:

I bought my own industrial buildings, one of the best moves I made.  No longer paying rent, have control of the whole building, could install solar on roof, invest in the fabric, then at the end of the day, if my business was to close/fail, I'd still have a building to either rent out or sell.

Its easier to get a loan/mortgage for owner occupied building, compared to buying a commercial building to rent out - the banks will want a much higher deposit.

If you are just looking at bare land, and intend to build a unit yourself.......there is the planning permissions, time/delay, distraction from the 'day job', but also the build cost.  Where I am,  no-one is building new commercial as the build costs are too prohibitive - its cheaper to buy an existing building than build a new one.

Glad it worked out great 👍 the land has a building but would want to expand it as it’s similar size to what we have now and we’re looking for somewhere bigger