Is it a good time to buy commercial property

[southern]

I'm interested in a unit at Cendex Centre. Purchase price will be 720K. I manage to get my agent to check the purchase price previously by the current owner, he purchased it at 380K in 2007, which is a huge profit now.

Do you think its a good time to buy since a chunk of profit already made by the current owner. I'll be buying for my own office use.

Thanks

 

[Dinan]

Re: Is it a good time to buy commercial property

Cendex Centre...that's where "Luxe cars" is...you didn't mention unit size??

Friend has a freehold unit nearby @ Henderson Rd asking $470psf...can put u in touch with him directly if ur keen.

Happy hunting!

 

[Alexxx]

Re: Is it a good time to buy commercial property

Lots of ppl eyeing commercial right now....just sold my commerical for what i thought was a good price.

Valuation $2.2 sold at $2.55 and right after that new prospect offered new owner $2.6

 

[golfgti]

Re: Is it a good time to buy commercial property

dont play property unless u got holding power. unlike stocks, theyre much more illiquid. just coz 1 guy got offer doesnt u will get it too. infact most offers are not serious just looking one.

commercial rents have not peaked yet so thats y pple looking at them.

 

[zuoom]

Re: Is it a good time to buy commercial property

why the need to buy commercial unit now?

 

[quickshot]

Re: Is it a good time to buy commercial property

Dun really think there is a gd or bad time for either resi or comm property, so long as u got funds, holding power and a decent foresight of the area, sure earn

 

[Niva]

Re: Is it a good time to buy commercial property

Dun really think there is a gd or bad time for either resi or comm property, so long as u got funds, holding power and a decent foresight of the area, sure earn

with all due respect, there is no such thing as sure earn....maybe higher probability of making monies....those pple who bought in 1997/1998 crash will tell you rubbish...negative equity for 10 years is no joke...holding pwr for 10yrs and then maybe just maybe break even...not a gd investment eh? it takes a new generation like ours now to move into the next phase of property cycle cos our generation will have no idea what was it like then...dont over leverage ..interest rates bound to rise, alr rock bottom....this will impact on those who borrow too much and monthly payment will become an issue then...

for commercial properties, its a different ball game altogether...you have different grades too and hence different rentals..and diff tier of tenants..right now the new grade A are pushing the rental market upwards...older prime buildings face rising vacancies, just tt recently been boosted by companies expansion n new leases...so they are doing fine for now...2011 will see more new commercial buildings completed...so it remains to be seen how these new spaces are being absorbed..right now things are looking okay..fingers crossed dudes...

 

[southern]

Re: Is it a good time to buy commercial property

Dinan, The unit I was looking at is 1098 sqft.

I think the property market is at its peak now, so to buy now is a no no ?? Since the current owner already made 720 - 380 = 340K within 3 years.

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