Real Estate

Evaluating Commercial Singapore Properties For Sale


Commercial properties are appraised based on the returns you are going to get from your investments. If Return On Investment (ROI) of the property is equal to or exceeds the average ROI calculated in the location than the propertys actual value is more than the asking price. Finding the Gross Rent Multiplier (GRM) of the commercial property will help you determine if it compares unfavorably and favorably with properties similar to yours in the area.

Find out the average Gross Rent Multiplier of similar properties that are up for sale in or near your area. You can get information on gross rental incomes and expenses of commercial Singapore properties for sale from realtor companies that are handling the properties. The companies often have a handout sheet that contains the above information.

Hire a professional appraiser that can evaluate the worth of the commercial property that is up for sale. If the property needs any kind of renovation, then determine the renovation cost and subtract it from the asking price.

Negotiate the asking price based on the above calculations with the property owner but avoid being too conservative. Set a final price that you and the owner have agreed upon and get papers ready to buy the commercial property.

Evaluating Commercial Singapore Properties For Sale by
No votes yet.
Please wait...

Ad

BlogRoll

Archives

shares
%d bloggers like this: