If you choose to buy a commercial property rather than rent commercial premises, you must consider the following 5 factors:
1. Choose the right property.
First, it is essential that you choose the right property for your business. For example, you need to think about: the location and if it is suitable for your business, how many changes need to be made and if the price is similar to those in the surrounding area.
2. Financial costs.
You also need to consider the cost of buying commercial property. While many may believe that renting is more expensive in the long term, you need to remember that mortgage payments can actually be higher than lease payments. You will also incur additional costs when owning a commercial property, such as business rates and local authority fees. Therefore, you need to look beyond the cost of the transaction and take the time to calculate the actual expenses of operating a commercial property. Otherwise, you could find yourself in a difficult financial situation.
3. Additional Responsibilities.
When you own and operate business premises, you will automatically be given additional responsibilities. Among other things, you will have to comply with health and safety rules and keep up to date with security checks. This will increase your liability.
4. The condition of the property.
Even if you think you have found the right property, it is important to employ a surveyor to assess the condition of the building. There could be underlying issues that need to be addressed, which could prove costly. You should also find out about the energy performance of the building and request an energy performance certificate from the seller.
5. Use of an attorney.
When buying commercial property, you need to consult a lawyer from the start. Early legal advice is extremely important as it can help you with all of the above. A lawyer can help you choose the best property, advise you on financial costs and liaise with lenders or bankers, carry out property checks and advise you on your legal obligations.
When it comes to the real estate transaction, having a commercial property attorney on your side will help you get the best deal possible. A legal expert will also ensure that any pitfalls are quickly identified and remedied, potentially saving you a lot of time and money.
How can a lawyer help?
When you ask a good lawyer, you can expect them to perform the following functions:
* Negotiate a terms and conditions agreement that will define the terms of the real estate transaction, ensuring that it best reflects your interests;
* Perform the necessary research by ensuring that the title is ready to be transmitted;
* Perform in-depth due diligence;
* Negotiate with bankers and mortgage lenders;
* Complete the transaction as quickly as possible, without compromising the transaction;
* Submit stamp duty property tax forms;
* Register the title with the Land Registry.
Talk to a lawyer today.
If you are buying commercial property and need legal assistance, an attorney can help.