10 Steps to Buying a Commercial Property
Thinking of buying a commercial property in Tampa Bay, Florida? Make sure you know what to expect - whether you're a first-time buyer or a real estate aficionado. Here are the steps you need to know for buying a commercial property.
Step 1: Figure Out What You Can Afford
Determine what you'll be able to afford in mortgage payments each month, as well as what you can invest initially as a down payment. This handy mortgage calculator can help you estimate your monthly payments.
Keep in mind additional costs like closing costs, fees,commercial property owners insurance, and taxes will all add to the overall costs. Be sure to check your credit score, and remember that just because you don't have a traditional 20% down payment doesn't mean you can't buy a commercial property!
Step 2: Shop for a Loan and Get Preapproved
Finding a trustworthy lender and determining what type of loan you'll qualify for will help you figure out how much commercial property you can actually afford. Get recommendations, check with the Better Business Bureau, and be sure to talk to at least three or four lenders before making a decision.Need recommendations for lenders in Tampa Bay, Florida? Just ask us!
Step 3: Determine the Selling Price of Commercial Properties in Your Location
If you have a preferred location or neighborhood, find out the actual selling price of commercial properties in that area - not just their listing price—to confirm whether you can actually afford that location.Have a particular neighborhood in Tampa Bay, Florida you'd like to check? Request your neighborhood sold report here!
Step 4: Find an Agent
You don’t have to work with an agent—but it is extremely recommended unless you are a highly experienced buyer or lawyer. Your agent should be someone you know you can trust, an expert on real estate in your area and neighborhood, and very proficient in working with buyers of your experience.Looking for an agent in Tampa Bay, Florida? Find out more about our experience and how we can help you buy a commercial property!
Step 5: Find Your Commercial Property
This is the fun part, where you get to visit open houses, tour commercial properties, make notes, and really hone in on your perfect dream commercial property! Make sure you keep detailed records of the commercial properties you visit, noting things you liked, didn't like, pros and cons, etc. Taking pictures can also keep your memory fresh.Buying a commercial property in Tampa Bay, Florida? Start searching for your dream commercial property today!
Step 6: Make an Offer
When you find your favorite commercial property, work with your agent to determine a competitive but reasonable offering price. You'll want to choose a number that is comfortably within your price range but competitive enough that it won't cause the seller to immediately reject your offer.
Step 7: Get an Inspection
Nothing's finalized yet, so make sure you're getting your money's worth! Ask your real estate agent to recommend a trusted commercial property inspector to walk through the house and check for any potential defects or problems. If necessary, you can request that the seller repair any issues you find.
Step 8: Review Your Contract
Before you sign any paperwork, it's important that you carefully read over the contract with your agent or lawyer to ensure there are contingencies - that is, if something falls through with your mortgage, you aren't still obligated to buy the commercial property.
Step 9: Finalize Your Mortgage Approval
Work with your chosen lender to submit your mortgage application, review predicted closing costs, and have your commercial property appraised. Common closing costs include attorney fees, title insurance, appraisal fees, commercial property inspection fees, courier fees, government recording fees, and taxes.
Step 10: Close and Pay
It's time to close! Meet with your agent, lender, and the seller to finalize the paperwork, sign your contracts, and pay your down payment and closing costs. Finally - the keys to your new commercial property!
Still Have Questions or Ready to Get Started?
If you're thinking of buying a commercial property in Tampa Bay, Florida, then it's time to contact Tomlin St Cyr Real Estate Services. We're your local real estate experts. Not only can we answer all your buying questions, we can help connect you with the resources you need to make an informed decision so you're sure to find your dream commercial property at just the right price. Take a look at some of the commercial property buying resources we have to offer.