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Charles Feitel

Why Buying A Medical Office Condo Might Be Right For You (Part II)

Why Buying A Medical Office Condo Might Be Right For You (Part II)

10/3/2019 5:28:36 AM   |   Comments: 0   |   Views: 19

Financial Benefits

There are some excellent financial advantages to buying a medical office condo.

For starters, you get precisely the same financial benefits you'd get if you bought a stand-alone building. And, you can probably own your own space for the same amount as leasing. Also, if you're merely leasing, you'll never build equity, which turns your purchase into a savvy investment.

Since you'll be making lease payments to the LLC you own, you get to write this amount off on your taxes. Additionally, in your role as the owner, you enjoy the financial benefits of depreciation.

Another advantage is that because your mortgage payment will be the same month-to-month, your occupancy costs will be more predictable than if you were leasing. Sure, property taxes vary from year to year. But you're not at the mercy of a greedy landlord who jacks up your rent every time you renew your lease.

As an owner, you won't have to deal with this anymore.

You might be able to get an SBA 7(a) loan to purchase your medical office condo. With this kind of loan, You can get lease terms up to 25 years, and loan amounts up to five million dollars.

 If you keep the condo after you hang up your stethoscope, you'll have a reliable income stream well into your golden years. You can also sell it to a new practice and make a little cash. So, if you buy a medical office condo, try to find a property that will have an excellent resale value in case you ever sell it.

However, before you plunk your money down for a condo, make sure you break down the pros and cons of leasing vs. owning. A broker who exclusively specializes in healthcare real estate can help you do this.

Other Kinds of Advantages

Most medical office condos come with a professional manager who takes care of maintenance.

Having your condo managed by a professional can take a load off your mind. This frees you to do what you do best, which is to grow your practice. When you have a small practice and buy a stand-alone building, hiring a professional property manager might not be cost-effective.

 However, in a medical condo building, you share these costs with other owners.

 One of the best reasons for buying a medical condo is that you can customize your office just the way you want it without having to consult with a landlord first. And if you buy the entire building your condo is housed in, you’ll have tenants who can pay your mortgage for you.

Final Thoughts

There are potential benefits to buying a condo to practice in. They're not for everybody but purchasing a medical office condo might be the office space solution that's right for you.

You'll enjoy all the tremendous benefits of ownership without having to buy a building that's too big for your needs. Moreover, you'll no longer have to put up with an unscrupulous landlord who tries to cheat you every time you turn around.

If you're thinking of buying a medical condo or need some other type of office space solution, call HPRG today. We've been exclusively helping professionals in the healthcare field for over two decades, so we've honed our expertise to a razor-sharp point.

We'll help you easily navigate the complex terrain of the commercial real estate landscape. When you're ready to negotiate, we'll be in your corner every step of the way. This way, you'll get the best deal at the right price.

Give us a call today, and we'll help you get the office space you've been dreaming of!

 

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