Understanding The Most Profitable Types Of Real Estate Investment

Choosing to invest in commercial property for sale in Louisiana (LA) is not a decision one can make within a day. It is something you need to think about over some time before making a decision. Savvy investors conduct a lot of research into triple net leasing and commercial leasing before they make a decision. It is very important to know that you will be able to give your commercial investment your full commitment.

It is important to ensure that the commercial real estate property you choose to invest in is a commercial property capable of yielding a satisfactory ROI. There are a lot of investment vehicles available and ROI should be an important factor to consider in your planning. If you have decided to invest in commercial properties, you should know some of the most profitable types of commercial properties you can invest in.

Properties with a lot of tenants

Commercial properties that can bring in the highest ROI are those with the highest number of tenants. Such properties include apartment complexes, RV parks, student housing, storage facilities and office buildings. The more the tenants, the greater the income. Likewise, the higher the property demand, the less you will have to worry about getting new tenants on a short-term notice.

Real estate properties with growth

Properties that are located in areas with high traffic are likely to attract more tenants willing to lease the property for a long period. They are also likely to attract new tenants if your old tenants leave. So, before you buy sell commercial property, it is important to look at the traffic of the property. The same principle applies on a macro scale. Suburbs that are fast-growing and other in-demand places are very popular among investors for a reason.

Commercial properties with triple net leases

Whilst commercial properties that offer the highest ROI are those with the highest number of tenants, properties with a triple net property are also a high ROI exception to this rule. These properties are single-tenant spaces but the tenants are more likely to sign long-term leases. Properties with triple net properties are ideal for the new real estate market.

This is mainly because NNN leasing puts the responsibility of paying taxes, building insurance into the hands of the tenants and paying for maintenance. This enables you to have a stable income from your property investment rather than estimating your property income based on the projected maintenance costs.

What is more, is that you have more time to work at your day job because you do not need to worry about maintenance. This is handy for the fifty-five percent of millennials who want to invest in real estate.

Before investing in commercial property for sale LA, it is essential to find the right commercial investments in terms of ROI. However, it is also important to choose the right lease that will meet your needs. To learn more about triple net properties and triple net leasing, you should contact a professional.