The Advantages of Buying Commercial Space

The Advantages of Buying Commercial SpaceThere are those that will tell you that it’s best to never actually own anything, to go through life leasing homes, business locations, automobiles, etc. By doing so, you will avoid the headaches that go along with ownership. Those people are very shortsighted and cannot see the big picture. Buying commercial space and owning business buildings can work out very well for an entrepreneur. The advantages of buying commercial space far outweigh the  disadvantages.

Owning Comercial Space Delivers Tax Benefits

As a commercial building owner, you can reduce your tax liability by deducting its depreciation and mortgage interest payments. You’ll also be able to write off repair bills, taxes, building maintenance, and many other costs. If you buy a building instead of leasing space, you can most likely expect the building to go up in value. Whenever you decide to sell the building, you could realize the gain as income.

Building Owners Have Control Over Future Improvements 

Aside from the tax benefits, there are other reasons to buy business buildings. Since you’re the owner, you can make all the decisions about how the building is maintained, improved, or altered. Your customers will look upon any improvements to the commercial space as favorable.

Commercial Space Owners Don’t Pay Rent 

Another advantage of buying business locations is that you won’t have to worry about the ever-increasing rental charges like you would if you were leasing space. While going through the sales transaction, you may be able to get a fixed rate for 80% of your mortgage loan, and because of this, most of your monthly payment doesn’t go up. You might be able to refinance the loan and get a lower rate, thereby reducing your monthly expenditure. When you pay off the mortgage, you can say goodbye to those monthly disbursements.

Unused Space Can Deliver New Revenue Opportunities 

An additional perk of being the proud owner of a lot or commercial space is that you have the room to expand in the future. Also, having a stable, long-term location always looks good to your customers. If you choose, you can lease some of your space to other businesses. This new source of income can help with your monthly mortgage payments. Having extra money for your mortgage will free up funds for other areas of your business; this would be the stuff that dreams are made of for entrepreneurs.

Business owners always have to implement plans that will move the company forward in a positive way. One way of moving forward is to purchase the building that they will be doing business out of for several years to come instead of leasing the commercial space. Depending on your own business situation, it can be very advantageous to buy the worksite to grow into the prospering entity you have envisioned.

Learn More About Buying Commercial Space

If you would like to discuss financing a commercial real estate purchase, please contact us by filling out the form below or give us a call at 404-602-9100. To stay up to speed on all things Barrington Commercial Capital, follow us on Facebook and LinkedIn. And lastly, sign-up for our monthly email below to stay informed of the latest commercial capital options available to you and your business.

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