The key benefit of commercial investing, is achieving a higher rental yield than residential investments.
Commercial property net income returns, typically are in the range of 7 to 9 per cent as compared with 2 to 4 per cent per annum, for residential properties.
A really good strategy is to invest in sectors that are in particular rental demand, so it definitely pays to keep a close watch on the trends that are influencing the market.
Commercial property sectors include offices, industrial, retail, hotels, rural, agribusiness, healthcare, retirement living, as well as other specialty properties.
Many private investors use, their SMSF to invest in commercial property.
Often high-rental yield properties have low-capital-growth rates, so it essential to seek professional financial advice, before embarking on SMSF property investment.
Commercial investment can really achieve excellent returns, especially if you embark on a risk-measured, well-researched strategy.
If you would like to talk to our Finance Partner about an investment loan for your commercial portfolio, contact propertyloans@realrenta.com today and we will arrange for them to call you promptly.