This 5 part educational series will begin with the advantages of owning commercial property. Please follow us in the coming weeks to learn about the additional benefits of being a property owner.
Most business owners eventually confront the question of whether to purchase or lease their office space. There are many factors to consider in making this important decision. For new dental practitioners who are uncertain of future space needs and want to ensure maximum cash flow as they grow their business, leasing may be a wise option. But for new or seasoned practice owners with a strong financial profile, a clear picture of future growth, and the ability to take advantage of the tax benefits of ownership, a commercial real estate purchase can provide a solid foundation for growing the business.
1.) Historically Low Prices
Commercial properties for dental practices are far less expensive today than they were before the recession. In some areas, it may be ultimately less costly to purchase and outfit commercial real estate than to build-out and rent a leased space. And while property values will not likely rise at the aggressive rates seen from 1998 through 2005, it is a safe bet that at today’s lower prices, both residential and commercial real estate values are likely to appreciate over time. As the property owner, you receive the full benefit of that appreciation.