If you’re looking for the best ways to invest and earn great returns, there’s something you should know: real estate has been one of the best performing assets since President Obama took office. What’s more, experts are predicting additional growth for the real estate market in the years to come. Now is a great time to consider commercial real estate investments.
Investing in commercial real estate such as office and retail space, warehouses, restaurants, service stations and the like can yield robust returns. Because these properties experience less pronounced business cycles and longer-term leases, they tend to resist the volatility of the stock market. Plus, investors stand to make money through appreciation and sale of the properties, as well as the income generated through rent collection. With smart management, commercial real estate assets enjoy greater stability to match those strong returns.
Investors can purchase a small retails space or storage center directly or through a private partnership, but should be aware of the significant down payment requirements. With commercial properties, the standard is often close to 30 percent of the property’s listed value. Those interested in commercial real estate investment should reach out to commercial real estate firms like Intelica. We maintain a range of listings, and can help investors identify direct investments that will create the greatest opportunities for returns.
Choosing a real estate investment trust (REIT) is also an option for those looking to add real estate assets to their portfolios. REITs are securities that sell like stocks and give investors real estate exposure without having to buy and sell buildings. They are a highly liquid way of investing, often returning about 4 to 6 percent each year in dividends, along with special tax considerations.
With appreciation on the horizon, investing in commercial real estate or REITS is a great way to balance your portfolio. Contact Intelica today to learn more about the available opportunities in the St. Louis market and beyond.