Buying Commercial Land in Mississauga – No End in Sight to the Boom!

If you are planning to invest in real estate, buying commercial land in Mississauga could be just the right move to make. All GTA real estate markets are booming, but commercial property has the potential to generate significant income for those who have the ability to purchase it. As a recent Globe and Mail article notes, "Canadian commercial real estate boasts a 10-year annualized total return of 11.9%, according to Investment Property Databank Ltd.” Most equities have an ROI of about 8%, and bonds return approximately 5.6%. There is some concern that the market may have peaked, or that it may be softening. Some analysts feel that too many office towers have been built in recent years. But for the moment, there appears to be no end in sight to the boom.

Since buying commercial real estate can be complex, one of the first things you’ll need to do is to assemble an excellent team to help you. An experienced REALTOR^® is crucial, along with financial advisors such as a mortgage broker and an accountant. You’ll also need a lawyer who specializes in property law.

What and Where to Buy

One primary consideration is the type of real estate to buy. Properties currently available in Mississauga include lots ready for development, as well as commercial buildings such as warehouses, retail, industrial, or office buildings. Each type of commercial real estate will come with its own specific challenges regarding investment and management.

If you intend to buy the property to house your own business operation, your path will be clearer. You already know exactly what type of space you need, and you’ll be able to work toward making your property an ideal fit for your business. If you’re buying commercial real estate as an investment, however, you’ll have to make various decisions based on economic potential rather than specifics. Some of the aspects that will guide your purchase might be location, condition of the property, accessibility by major roads, and the likelihood of the space being rented in the current market. Before buying any property, check with local authorities to find out if there are any plans for development in the area that might affect the value of your space. For example, if you are considering buying a strip mall retail space, make sure that plans aren’t underway for a shopping mall nearby.

With Open Eyes

If you do purchase commercial real estate in Mississauga, make sure to research every aspect thoroughly. Assess how buying a building for your own business might affect your taxes, and the liquidity of your enterprise. If you intend to act as a landlord, familiarize yourself with your rights and responsibilities in this role. For either application, anticipate the types of expenses associated with maintaining a commercial property. If you are purchasing land for development, make sure that the location you choose is likely to increase, rather than decrease in value.

Talk to an experienced Peel Region real estate broker today, and learn more about the advantages of buying commercial land in Mississauga!