By : Radu Arvatescu
Buying commercial property is a huge step in your business journey. Whether you are purchasing a property as a rental investment, or if you need a site for your business, you’ll need to follow the basics to get the best results. The commercial property market can be complicated and there are several critical factors that you will need to consider.
Discover how to buy commercial property in Ontario with these essential steps.
Dig Deep into the Details When Evaluating Properties
One of the most important things to take on board when you learn how to buy commercial property in Ontario is that every real estate market is different.
Even throughout Canada, individual markets vary in pricing, available properties, and long-term value prospects. Even a quick comparison between Ontario, British Columbia, And Quebec will show you just how diverse the market can be.
This is important to note because it will directly impact your purchasing decision. You’ll need to discover local inventory, check taxes, and even look at factors like the available skilled labour and support services in your chosen area.
Understand the market and you’ll make a better decision when it’s time to buy.
Optimize the Property for Your Business Needs
Location and other details are critical but don’t overlook how optimized a property is for your business.
Many business owners learn how to buy commercial property in Ontario but forget to determine how suitable premises are for their operating model. An existing property may need to be renovated or even fully remodelled to suit your business needs. This can introduce cost after the real estate transaction. Do you have funding in place for a new commercial fit-out?
It can help to consult with an efficiency expert when evaluating properties. Think of these professionals like interior designers for the commercial market.
Talk to Your Accountant
Affordability is always the biggest concern when buying a property. Beyond the total cost of the property, you’ll need to think about mortgage amortization and any other associated costs throughout the lifetime of your occupancy.
Taxes can be particularly complicated when purchasing real estate, so it’s useful to consult with an accountant who is fluent in all aspects of real estate finance and law.
Secure Your Financing
If you’re looking to determine how to buy commercial property in Ontario, financing will be something that you’ve probably already considered. You need to approach this carefully to get the best possible outcome.
Unlike in the residential market, you probably won’t have the time or resources to shop for mortgages with individual lenders. You may be inexperienced in commercial real estate financing. Thankfully, you don’t have to go through the process alone.
If you want the greatest chance of success when buying commercial property in Canada, you’ll need to work with a broker. The service will provide significant advantages, no matter the size of your business.
- A broker can explain all aspects of the real estate buying process.
- You’ll be able to leverage the experience of the broker and their network of legal and financial professionals.
- Brokers maintain databases and relationships with the best lenders in Canada. This gives you more access to mortgages through a single source.
- A broker acts as your representative from end to end. This saves a significant amount of time and money.
It’s possible to secure a mortgage and buy commercial property on your own, but this also comes with risk. Time wasted, higher rates and unrealistic terms are all possible when you don’t have help.
The Canadian property market is robust with opportunities for businesses of all sizes. No matter what your goals are, a broker can help you to achieve them.
To book an appointment to discuss your needs and learn more about how Mortgage Capital Investment can help you, call +1 289-800-4840 or email email@example.com.
Lowest Residential Mortgage Rates in Canada*
|Term||OUR RATE||Bank Rate|
|3 Year Fixed/ 25 yrs||5.04%||5.39%|
|3 Year Variable/ 25 yrs||5.60% Promo||5.95%|
|4 Year Fixed/25 yrs||4.89% Promo||5.04|
|5 Year Fixed/ 25 yrs||4.69% Promo||5.04%|
|5 Year Variable/ 25 yrs||5.70% Promo||6.45%|
|5 Year Fixed/ 30 yrs||4.60% Promo||5.14%|
|5 Year Variable/30 yr||6.20%||6.55%|
|4 Year Fixed/30yr||4.64% Promo||5.14%|
|3 Year Fixed/30yr||4.80% Promo||5.24%|
|**NEW RENTAL 5 Year Fixed /30yr||4.75% Promo||5.19%|
|** NEW RENTAL 3 Year Fixed /30yr||4.90% Promo||5.29%|
Updated: May 26 , 2023
* Current promotion rates may provide an additional 0.05% discount or may be anytime discontinued at the Lender discretion . Rates may vary between geographic regions and the posted rates on this website may not be available in your area. Please contact our MCI office for more details and current promotions.
LOWEST REGULAR RATES IN CANADA* * Current promotion rates may provide an additional 0.10% discount. Rates may vary between geographic regions and the posted rates on this website may not be available in your area. Please contact our MCI office for more details and current promotions.