Commercial Real Estate

Fort Mill, SC Commercial Real Estate Lawyer

Owning a business can be rewarding, but it can also be stressful. This is especially true when it’s time to buy or sell a commercial property. Commercial properties are typically larger than residential properties and are used for non-living space. They often include office buildings, shopping centers, industrial buildings, and warehouses. Working with a Fort Mill commercial real estate attorney is vital if you are considering buying or leasing commercial real estate.

Commercial Real Estate Attorney Represents Fort Mill, SC, Transactions

At Mack & Mack Attorneys, business owners and prospective buyers of commercial properties can benefit from our experience, knowledge, and guidance. We have been representing individuals and businesses in commercial real estate transactions in Fort Mill, South Carolina for years and pride ourselves on offering the personalized attention our clients deserve. Our Fort Mill commercial real estate attorneys are committed to meeting all your business needs with discretion and integrity. So, when looking for a Fort Mill, SC, commercial real estate attorney to represent your interests in a business transaction, look no further than Mack & Mack Attorneys.

Acquiring Fort Mill commercial real estate can be a rewarding experience, as well as a complex one with many significant moving parts. An experienced real estate lawyer can provide you with sound legal advice regarding your prospective real estate purchase, help you understand the potential tax implications of a closing, and guide you through the process, regardless of whether you are investing in real estate in your home state or elsewhere.

Do I Need a Commercial Real Estate Attorney?

When you are considering buying or leasing commercial real estate, it is critical that you understand your legal rights and obligations. A Fort Mill commercial real estate attorney can help you navigate the process of leasing or purchasing commercial property. This way, you can focus on what matters most to you—your business!

There are several ways to benefit from the assistance of a Fort Mill commercial real estate attorney.

• Leasing commercial real estate: If you are considering leasing commercial property, you should work with an attorney to prevent any potential problems. A commercial real estate attorney can review and negotiate your lease agreement to protect the terms that are most important to you.
• Buying commercial real estate: It is important to work with an experienced Fort Mill attorney if you are considering buying commercial property. We can help you through the process of purchasing your first commercial building or help you expand your existing business to include additional properties. This will accelerate the purchasing process and ensure a smooth transition.
• Negotiate and draft real estate contracts: A Fort Mill commercial real estate attorney can represent and protect your interests in business transactions. We will review all contracts before they are signed and use the power of their vast legal knowledge to negotiate on your behalf.  We can also help resolve potential problems through early intervention and regular contract reviews.

This just scratches the surface of the benefits of working with a real estate attorney. The risks of representing yourself are too significant to ignore. You can avoid costly mistakes by working with a proven commercial real estate attorney in Fort Mill, SC.

Challenges of Out-of-State Buying

It can be intimidating and somewhat risky to buy real estate property out of state. For one, you may not have as intimate knowledge of the market, or at least not as much knowledge as you have of your own local real estate market. In addition, you may be unfamiliar with the neighborhood you are looking to be a part of.

You will largely need to rely on local sources, word of mouth, hearsay, your own research, and your own instincts when you decide to purchase property from out of state. The local regulations and state law may be different from yours, so you may want to consult with local property owners and local real estate attorneys to get the lay of the land before you commit to a purchase.

It may be wise to purchase property in an area you are somewhat familiar with, like your hometown. Having some knowledge of the area can help you make a more informed decision. Buying in an area that’s similar to where you already live gives you a decent idea of what to expect regarding local demographics, climate, and the kind of property available.

Why Sell Out-of-State?

There are multiple reasons why someone would need to sell real estate outside of the state in which they live. These reasons include the following:

• Real estate investors could potentially own property all over the country and might decide it is time to sell.
• A recently deceased person’s next of kin may have inherited an out-of-state property.
• Someone has been named the executor for an out-of-state property.
• A family has a change in marital status, and one spouse has opted to move elsewhere.

Federal Taxes

You will most likely be exempt from paying taxes on your home’s profits if you decide to sell your primary residence. Your profit would be largely the original amount you paid for the house, as well as the value of any improvements or renovations you may have made over the years, subtracted from the amount you are selling the property for.

If you fail to meet any of the qualifications to be exempt from paying capital gains taxes, you may have to pay either short-term or long-term capital gains taxes on your property.

Short-Term Capital Gains Tax

If you decide to sell your property within a year of purchasing it, you will be charged a short-term capital gains tax. This tax rate is roughly the same as your income tax rate at the time of the initial sale. Short-term capital gains are taxed as ordinary income, as they do not share the same tax rate benefits as long-term capital gains taxes.

Long-Term Capital Gains Tax

If you end up selling your property more than two years after purchasing it, you will be charged a long-term capital gains tax. Long-term capital gains tax is substantially lower than the rate for short-term capital gains and will largely depend on the specifics of the sale at hand.

What Are the Risks of Self-Representing During a Commercial Real Estate Issue?

For those who think that you can handle your own business legal needs, here are some reasons to reconsider:

• Most people don’t know how to write a commercial real estate contract. It’s not as simple as writing down what you and the other party agree upon. There are many components that the average person may not be familiar with. For example, you need to include specific pieces of information in an earnest money contract, such as the purchase price and down payment amount. There are also many places where you need to include additional provisions that protect your interests in the case of certain events, such as bankruptcy, insolvency, condemnation.
• If you are representing yourself in a contract issue, an attorney will likely see these mistakes and be able to use them in their favor. In addition, if you are not familiar with the law or contract provisions, it is challenging to produce legal arguments that hold up in court.
• If the other party has a lawyer, you will likely be at a disadvantage in negotiating your commercial deal. However, when you and the other party both have attorneys, these professionals can use their experience to negotiate a more beneficial deal for their clients.

FAQs

Q: What Type of Commercial Real Estate Makes the Most Money?

A: Typically, the types of commercial real estate that make the most money are the locations that are able to house the most tenants. The more people you have living on your property and paying rent to you, the more profitable your property is going to be.

These types of places include apartment buildings, student housing complexes, RV parks, office buildings, and long-term storage facilities. Any building where people make a long-term investment that ultimately goes to you is profitable.

Q: Is Fort Mill, South Carolina, a Good Place to Buy Property?

A: Fort Mill, SC, is considered one of the top places to live in the entire state of South Carolina. It is a suburb of Charlotte with an estimated population of around 30,000 people. It has a number of great schools and beautiful parks. It was ranked the number two place to live in South Carolina, right behind Tega Cay.

Q: What Is the Difference Between Commercial and Residential Real Estate?

A: The main difference between commercial and residential real estate is usage. Commercial properties are widely used for business purposes or housing numerous people. These include warehouses, office buildings, apartment complexes, and retail parks. Residential properties are intended as living spaces and include single-family homes, duplexes, condominiums, and small apartment buildings. Both commercial and residential properties can be good investments.

Q: What Is the Cap Rate in Real Estate?

A: The cap rate, also known as the capitalization rate, is a popular way to measure the profitability and yield potential for real estate investments. It is largely based on the net income that the property in question is expected to yield. This number is determined by dividing net operating income by property asset value and is then expressed in the form of a percentage. The cap rate does not take property improvements or future leverage into account.

Investing in real estate can be a big decision with multiple implications that impact yourself, your company, and the town that you are investing in. You will want to know as much as you can about the local real estate market, the neighborhoods surrounding your property, and the average demographic in the area you are considering investing in.

These are all things that an experienced real estate attorney can help you gather and understand, which can only help you in your decision to invest in Fort Mill real estate.

The real estate team at Mack & Mack Attorneys understands how to help you and can offer you sound legal counsel throughout the investment process.

If you lose a case due to not understanding commercial real estate law or contracts, it could be costly for your business. Working with the commercial real estate experts at Mack & Mack Attorneys can eliminate this risk. We will help you avoid making common mistakes that can cost your business money, time, and resources. Contact us today to consult on your legal issue and retain the necessary legal advocacy you need to ensure your commercial real estate transaction goes smoothly.