A typical middle-tier property costs $349 000 in the US. Attaining such an investment is no mean feat. You will therefore want to choose an area that endears tenants and guarantees a solid investment return. Real estate is so location-specific that some areas are considered high-end and prime for an investment opportunity. This explains why commercial Real Estate in Florida is thriving.
But do not fret. Here are the top tips to help you choose an ideal location.
Income Levels
High-income areas have a high capital requirement, making it challenging to achieve the one percent rule. While low-income areas require low total investment, the maintenance costs and tenant turnover are relatively high. You will therefore want to choose a moderate-income area. They boast solid returns thanks to high rental rates.
Amenities and Facilities
The availability of amenities is perhaps the leading consideration when choosing suitable commercial real estate in Florida. Are there nearby schools, medical centers, and grocery stores? You will want to ensure the neighborhood has amenities to support long-term investment. However, crowded and unsafe areas leave a lot to be desired.
Mild Climate
An ideal location should have pleasant weather throughout the year. You don’t want an area with blistering hot summers and shoveling snow. However, there are few areas endowed with such a climate. For this reason, such areas have high demand, so you must dig deeper into your pockets.
Choose a Well Balanced Neighborhood
When choosing a property, ensure you do due diligence. You might love the design, but it will be less attractive to tenants if it is away from social amenities. Similarly, you don’t want a crowded, noisy, and busy area. A well-balanced area with contemporary development offers tranquility and privacy. You will offer a high-quality life and get a high valuation and great returns.
Infographic provided by FlatIron Realty Capital, a trusted real estate investment lending company
