It’s that time of year again…taxes! As we compile our information, the similarities between the different methods of filing tax returns is strikingly similar to the commercial real estate business. What do I mean?
With our taxes, we can file by TurboTax (or some other software program), we can go to H&R Block, an accountant or a CPA. Each of these methods costs a different amount and as a result, we expect more out of one than the other.
Likewise with commercial real estate. You can do it on your own, seek out a residential agent, seek out a commercial broker or seek out a commercial professional with a designation that proves their level of expertise in a certain area. Let me explain.
Finding a piece of commercial real estate on your own is like using TurboTax. You may end up with a “return” but was it the best “return” you could get?
The H&R Block method I equate to using a residential agent. They know their business and can do the leg work for you. However, they don’t have the depth of knowledge that an accountant or commercial broker does and you may leave “something on the table” by using this method.
The accountant is a seasoned veteran and is similar to a commercial real estate broker. They have experience and depth in their industry. They would generally be more equipped to provide a higher level of expertise than the other 2 methods, thus yielding you a “higher return”.
Finally, the CPA is like a CCIM (Certified Commercial Investment Member) or SIOR(Society Industrial Office Realtors). In order to hold the designation, they had extensive educations requirements, a proven track record in their field and had to take and pass an extensive exam on their subject.
Either method can get you a “return”. The question is are you looking for just any return or the best return? Your choice in a service provider can make the difference.
This entry was posted on Sunday, March 11th, 2007 at 8:15 am and is filed under Real Estate News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.
