The Valuation of Property
Commercial real estate can refer to any number of property types from residential, to commercial, to agriculturally zoned land. Even completely unused land can be a commercial investment to the right party. Investors generally have two methods of making money in the commercial real estate market: capital gains and rental income.
A capital gain refers to any profit (gain) made from the sale of owned property (capital). In general, the intent of capital gains in commercial real estate is to purchase a property for a low price and then either spend some money refurbishing the property, or immediately try to sell it again for a profit. This method of commercial real estate practice is often called “house flipping” but can also apply to lots of land, office buildings, or any other kind of property that an investor expects to increase in value. As with any other capital gain, income gained from house flipping will be taxed using capital gains tax.
The more stable form of income in the commercial real estate world, rental income refers to funds paid for the use of a facility. While many people will associate rental income with rent paid to live in a house or apartment, rental income can also refer to businesses leasing out a storefront or office space. Even bare lots of land can be rental properties if someone is paying the owner to utilize it for a set period of time. Rental income has its own taxation method separate from income or capital gains tax.
Helping You Command The Market
If you are looking to assert yourself in the world of commercial real estate, you will need the help of an experienced real estate law attorney. A real estate attorney is able to focus completely on your case and get you the best possible outcome.
In order to achieve this best outcome, however, you will need an attorney who has the expertise and resources to take your case all the way. That’s why you should contact Attorney at Law. By partnering with AAL, you will be able to avoid slogging through the quagmire of unscrupulous lawyers looking to exploit your case.
At AAL, we only partner with the best firms in your area, helping you find the best attorney for your case. Don’t wait, contact AAL today to be matched with skilled and experienced attorneys in your area who practice real estate law.