There’s a near-limitless supply of commercial real estate investment opportunities out there to help you reach your goals. Whether you’re starting without any property investment experience at all, or you’re looking to scale up following residential investment, there are plenty of easy access points for this kind of venture. To help you develop your ideal starting strategy, here are five easy ways to find your feet in commercial retail investment:
- Meet Others Who Are Already Investing
When you’re just starting out in any area of business, it makes sense to surround yourself with people who have already found success in the industry. Will there be some degree of competition down the line? Probably.
Right now, however, commercial property investment opportunities begin with meeting other people who can show you the ropes and open some doors. So, look out for networking events in your area, and get comfortable with introducing yourself and asking questions.
- Contact Some Agents
There are local agents who deal specifically with commercial properties. By getting to know them and expressing interest in making a purchase, you should be able to get the inside scoop on opportunities before they become public. In some areas, this is how 67% of sales are made.
These agents always have their ears to the ground, so to speak, and they can show you some really great deals if you make the effort to connect with them.
- Go Through the Motions
A fantastic way to get to know the deals available and to start learning the ropes is to head off to as many viewings as you can. Ask lots of questions, and go through the motions as far as you can without entering into anything legally binding.
Commercial property investment can be a little more complicated than residential property investment. So, it’s worth getting to know the numbers, the process, and the kind of properties out there, especially if you’re a true beginner in this area of business.
- Dip Your Toes in
A great access point for beginners in commercial real estate can be found in smaller, cheaper deals that don’t carry too much risk. This is a preferred way of learning for many because you can quickly build up a large and diverse portfolio without putting all your eggs in one basket.
Could there be bigger deals down the line? Absolutely. But you can plan those later when you have the experience, knowledge, and success you need to make them happen with minimal risk.
- Get to Know the Jargon
A huge barrier to the industry, if you are a beginner, is the jargon associated with commercial real estate. Net operating income, cash on cash, cap rate, reserve cost contingencies, LTV ratio – the list of buzzwords is endless.
An easy way to get much closer to a successful commercial real estate career is to learn the jargon. You’ll instantly be more well-versed in the entire industry, and opportunities you previously felt closed out of will open up to you. It’s a bit like learning another language at first, but once you understand it, things will be so much easier.
You’re One Step Closer to a Fantastic Commercial Real Estate Career
Getting started with commercial real estate investment can be challenging, but with the right knowledge, connections, and plenty of effort, there are many ways to get into the industry. Soon enough, you’ll be ahead of your competitors and taking some huge strides toward an exciting and impressive portfolio that helps you reach your professional and personal goals.
