POSITIVELY GEARED COMMERCIAL REAL ESTATE INVESTMENT – NO BRAINER

 

Today I want to explain why you should invest in positively geared commercial real estate.  You may ask why no one has explained the advantages of positively geared commercial real estate investment before. Well the reason is SIMPLE because the investment industry is monopolised by some powerful investment industry groups who have a vested interest such as the Financial Planning Industry, stock broking, banking industry and to a great extent the financial media. These powerful groups predominantly advocate that stocks and bonds and managed investments are the only safe forms of investing available and it appears is the only investments available. NOT TRUE BY ANY MEANS!

 

Unfortunately and predominantly knowledge about investing comes from the media and interactions with financial planners, stock brokers and/or colleagues; these groups advocate investing in traditional investment vehicles and/or residential real estate.

 

The investment world is split into 2 main styles:

  1. Indirect investments - i.e. stocks and bonds, managed investments etc. – an indirect investment is the most common form of investment in the investment world today. They are classified as indirect because the investor does not own the underlying asset and has no say in the way it is managed.  One of the interesting features of indirect investments is their liquidity; however, this ability to trade quickly is also a major shortcoming because it supports speculation and volatility. Indirect investments are prone to rapid and unpredictable swings often due to factors that may have nothing to do with the strength of the underlying asset.
  2. Direct – real estate, business investment etc..-  a direct investment is one where you actually own and have some role in controlling the management of the underlying asset. Although a lot less liquid they are not prone to volatile value swings .The value of the investment is in the cash flow.

About Author

Rick Bantleman

Rick Bantleman has been involved in the property investment industry for over 30 years, making the transition from successful chartered accountant and financial controller to property investor and now real estate professional. Developed in 2007 Century 21 Centex Commercial was created to provide an innovative solution to real estate investing in commercial real estate locally, nationally and internationally. Century 21 is now the largest real estate selling agency in the world now with over 7,000 offices worldwide. With their core focus on positive commercial investment property and wealth creation, Century 21 Commercial has fast become the commercial agency of choice when choosing to invest in positive commercial property. From the dynamic website to their smart investor list, Century 21 Commercial is dedicated to providing the most up to date information and properties in positively geared commercial hotspots Australia-wide. Rick is passionate about commercial property and positively geared commercial property investments and offers his advice as an experienced property investor and advisor; Rick has already amassed a significant property portfolio in his own right. Rick is the CEO of Century 21 Commercial. Rick Bantleman is the State Franchisee for Century 21 Commercial in Western Australia, a specialist in positively geared commercial property investment.