The process involved in purchasing a property will differ from a commercial property, to a residential property, to your own personal residence.

If you are purchasing a commercial investment property, you will need to determine what type of tenant will use the property. You will need also to understand the potential problems with different tenants and the rent you could expect to receive.

Other factors impacting on this type of purchase will be location in relation to other facilities, access to main roads and transport and the types of properties and their age, in the immediate area.
A recently built property will carry taxation advantages older properties do not have.

In most cases you can expect a higher rate of return with a commercial property, but that is also followed by a greater risk. Your initial deposit will need to be more sizable than residential also in order to qualify for finance.
On the other hand, a residential investment property will take into account family considerations, such as proximity to shops, transport, schools and medical services.

When looking at this type of investment, factors such as capital growth, area, type of tenant and rental return will be critical in evaluating your investment. A guide that is often used is would you live there?
If the answer is no, it is probably the same answer for many good prospective tenants as well. If the answer is yes, then the property could well be worth further investigation.

Your own personal residence will have lifestyle considerations attached to it. Issues such as your children, their ages, their needs, your own work and social requirements will all play a large part in the type of residence that you would consider buying. This can often become a very emotional type of decision, which can be fraught with dangers of overspending.
Whatever type of property you are buying, the most critical step is to consult your buyer’s agent so as he or she can give you professional independent advice.