Maarten de Jeu is an entrepreneur based in Chicago, Illinois. He is the founder of SVM business Advisory, a firm that assists businesses when it comes to making effective business decisions. Maarten de Jeu is also providing advice to individuals who wanted to look for the best investment option in the present. One of the best investment options for Maarten de Jeu is commercial real estate. He said that this investment option has a lot of advantages, and the money spent on a property would never go to waste. Here are the top reasons why Maarten de Jeu thinks that commercial real estate is a great investment option:
It has low investing fees
Compared to other investment options, commercial real estate will only require you to pay minimal fees. This is because most of the transactions affecting commercial real estate are now performed online, without the need for any middleman. In other investment options, a middleman is required. You would save a lot of money if you opt to buy a commercial real estate property instead.
You can be protected against inflation
Inflation is the continuous rise in basic goods and services as a consequence of an improving economy. When the salary of the people rises, inflation would also rise. When you have a commercial real estate property, you can be protected from inflation as your property also increases in value. You should also modify and improve the features of your property to make it more expensive.
Your investment will be diversified
The most experienced investors will always tell you that you should put all of your eggs in one basket. This is true when it comes to investments – people should diversify their investment options because they do not know what could happen in the long run. If one of your investment options failed, you would still have others that can generate a profit. The commercial real estate is a trusted investment option where the value keeps on increasing as time passes.
Compared to other investment options, commercial real estate is less risky. Compare it to stock markets that have the probability to crash, or bank investments that can be stolen anytime. Commercial real estate will give you security when it comes to your investments. It is not affected by global issues, and it is impossible to steal it.
Reliable cash flow
When you have a commercial real estate property, most of the profit will come in the form of leases or rents. If you have a tenant in the building who signed for a contract that lasts for a year, expect to receive reliable cash flow for that period. Learn more: https://about.me/maartendejeu
A commercial real estate does not have the same volatility observed in the stock market. When issues like rumors of war and economic collapse start to dominate the news, the stock market is directly affected. On the other hand, these issues would never affect the value of the commercial real estate.
You will receive tax advantages
Many people believe that commercial real estate is a great investment because of the tax advantages given by the government.