There are many factors that must be considered by an investor when they enter a new market. Brian Fielding, an experienced and gifted mind in the industry of commercial real estate and the founder of Fielding Investments, offers the following tips to make sure that investors can make well-informed decisions that will in turn lead to worthwhile investments.
- Consider properties that need work: While new investors may be hesitant to purchase a property that needs to be renovated, Mr. Fielding believes that these pieces of commercial real estate actually have the most potential. Additionally, these assets can usually be purchased for a lower price and thus have more room for profit once they have been improved upon. However, the buyer must take time to find out exactly what the property is lacking. Doing this will allow him to negotiate a price that lets him afford the needed property improvements.
- Commit to long term ownership:Brian Fielding says that in most cases, properties give an owner the biggest return over a long period of time. Unfortunately, some investors may try to dump out of a property the moment the market sees any kind of downturn, and the result is that they lose a large percentage of their investment. If, however, the owner is prepared to see it through these tough times, they can make it past the downturn and wait until the market is sound before they sell their real estate for a profit. Additionally, the longer an owner holds on to the property, the longer they can be making money off of tenants. Remember, even when the value of the property falls, the investor can still be making rental money.
- Decide how to manage the property: Many of those who lease residential real estate are accustomed to dealing directly with their tenants. However, when an investor has purchased a property with a number of available spaces to lease, or has acquired several different properties, Mr. Fielding believes that they should consider hiring a full time manager. While the owner can certainly manage the property himself, he must understand the personal commitment that it requires, and should consider all his options before the purchase and decide if he will hire a manager or not.
Brian Fielding is an expert in the field of commercial real estate and he believes that many individuals can benefit from investing in a commercial real estate property. However, he knows that for these investors to be successful, they need to be knowledgeable about the industry, and that is why Mr. Fielding has made it his mission to share his adept knowledge with investors. To learn more about the commercial real estate market visit www.brianfielding.com.