Buy or Rent a Commercial Property Investment UK

For entrepreneurs and business owners, there’s always this constant push and pull of ideas. Which option to pick? What should we do? How do we achieve this goal? The questions go on and on. One of these queries that must be addressed as something to do with real estate assets. Should you buy or rent a commercial property investment UK?

The answer: It depends. There’s no cookie cutter solution to this because every company varies. Each one is unique in their needs no matter how similar they may appear. But to help you out in deciding and weighing which among the two you would go for, we came up with the following list of situations that benefit each alternative.

Option #1: Buy a commercial property investment in UK

  • Permanent Space – If you want something that’s more permanent and which you foresee having to use for a long period of time then buying can be wiser. It also provides permanence so you need not worry about a lease contract expiring and having to move out should the landlord want something else to do with the space.
  • Adequate Resources – If you have the means to buy then you can go ahead and acquire. There is more to owning this type of investment though so proper computations and careful analysis must be done beforehand.
  • Cost-Effective in the Long Run – As time passes by, renting can become financially expensive especially considering the fact that ownership does not transfer to you. When you buy and own the property, you can eventually resell it for a profit if and when your purpose for it expires.

Option #2: Rent a commercial property investment in UK

  • Temporary Space – If you need something that’s temporary, renting is more cost effective. You won’t have to spend as much in terms of repairs and maintenance. Plus, majority of rental units are situated in prime locations with heavy foot traffic.
  • Limited Budget – Investing in a commercial property is costly both upfront and as time passes which makes leasing the choice for entities that do not have the adequate resources for it.
  • Startups and Small Enterprise – Many same to medium scale enterprises and startups opt to rent, for some at the time being, because they do not have adequate assets to garner a loan to buy a permanent space commercial property investment in UK yet.

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