Times are tough for owners... The France being in a situation of housing bubble about to burst, the heritage of number of people could see its value significantly reduce.
Still, there are some ways to secure its heritage by diversifying it, including turning to new launches in singapore. This term includes several types of properties: commercial premises, offices and warehouses rented to companies. Although fairly general, this article treats instead of the first two categories.
So why would invest in this type of property secure its heritage? And all just because their value is linked to the price of real estate housing, but rather the rent/m² and the profitability that can draw. Indeed, it is not individuals who are interested in this kind of purchase, but investors. The application is not all the same: the investor did not "need" to invest. The individual has however "need" to stay. And prices fluctuate on the basis of this need. They are now so high in places that people can no longer buy. The owners who want to sell will sooner or later be forced to revise their prices downward, which will impact the overall housing market.
A small example of calculation of the value of a good professional: at a location where the profitability of commercial premises is 8% per year, a room of 100 m² rented 2,000 euros per month worth about EUR 300 000. Regardless of the selling price of housing surrounding fall of 30%. The value of commercial walls will remain virtually identical and in any case much more stable.
What are the other benefits of this type of property?
Profitability is generally better than for housing.
The lease, professional or professional business is very free: all expenses usually borne by the owner (land tax, development...) can be charged to the tenant.
The lease is concluded for a long term guarantee of stability and security: 6 years minimum for business premises, 9 years for commercial premises.
There is a great diversity in the type of premises available in the market, which allows an entry to all ticket. An investment that can range from the simple room rented to a company that debuted at the whole building rented to a multinational or a mall, passing through a doctor's office or a 'business center'.
If investment online scares you, it is very easy to invest in many REITs dedicated to real estate business (which can reduce the entry ticket)
For those who have already embarked on real estate investment, it is a very good way to diversify his assets.
The tenants are much less protected. In the event of unpaid, it is easier to evict the deadbeat of a professional local
Of course, all is not so rosy and there are some drawbacks:
Is the crisis... the economy will not very strong at the moment. Consequence: the number of m² of unoccupied offices just keeps growing, and re-lease a professional local can be difficult. Less than offer a very competitive rent, leasehold holiday periods can be long.
Offices or the walls of shops are far fewer on the housing market, it is more difficult to find the rare Pearl.
The location is essential and depends on the type of tenant you are targeting. If a doctor's office can be installed just about anywhere, it is not the same if you offer a platter of offices for rent, because the location of the business districts may suffer a certain effect of mode and be shunned after a few years. Ditto for shops, certain types of shops were deserted city centres and focus more than in shopping malls
For the business premises where the trader has a right to renewal of its lease, it may be difficult to recover its property at the end of periods of 9 years.
So much for this quick presentation of real estate professional, which can be considered as a market niche, but to which all new launch condo singapore investor who respects himself should consider a day either!
)
