Buying a hotel or any other tourism property is not an easy process, whether you are a seasoned investor or a beginner. Once a good deal is sealed, however, and the operations start rolling, great rewards are bound to come.
Here are a few useful tips for first-time investors:
Read books and other resources about tourism properties. Find estate magazines that will give you the latest updates in commercial properties in your area. Learning the basics may take you some time, but will give you your money’s worth.
Estate agents will never cease to be important when buying properties. Don’t go alone negotiating your terms because chances are your experience is not enough to snag you a good deal. Agents are trained, licensed and updated with the trends onthe market and may just help you with the best possible options for your purchase. Besides, listening to your agent may prove educational for you.
Property valuation and leasing terms may be vague concepts for non-professionals, but your agents should be able to simplify this for you. For more information, resortbrokers.com.au offers educational booklets about accommodation businesses and property purchasing in general.
Schedule an ocular inspection.
Visit the location you are eyeing and check the property thoroughly. You may also bring an architect or someone knowledgeable in building inspection and appraisal.
Draft your own contract.
Know what your needs are. Together with your lawyer, set straight goals in acquiring business property and draft them first before merging your contract with that of the seller. This is to help your agent negotiate in your favour. You can change them later on if you arrive at a compromise. Your contract must also include payment. Check the available options for loans and other funding you may subscribe to. Make sure to include your terms in the payment clause.
Learn everything you need to know before entering a deal. Always remember that when you are in doubt, you can always ask.