Commercial Property Is It Better To Rent Or Buy

There is an ongoing debate concerning residential property: whether it is better to rent or buy. In the area of commercial property – offices, warehouses, shops, and industrial units, etc – the debate is no less controversial and those involved in the list of commercial property management companies will say there are often many more than two sides to this story.

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 When thinking of buying or renting commercial property consider the following:

Start-up businesses  

It's often difficult to raise finance when you have just set up a business, and even if it is available it may be better spent on capital, staff, marketing, and stock. Even if you can obtain a mortgage it may be better to wait and see: if the business is unsuccessful you have been tied into a long loan; if successful, you may be looking for larger premises sooner rather than later.


As with most things in life, price or cost will be a determining factor. In a market of declining values, now – or soon – may be the best time to invest in commercial property as prices are at their lowest for several years. 

The story is not a 'one-size' fits all though, and some sectors of the commercial property market have declined faster than others. 

Rental value 

Unlike the residential sector, commercial property rents have not seen a dramatic rise in recent years. Indeed in many areas, the opposite is true. 

But as with residential property, the difference between rental values and purchase prices varies from location to location for lots of reasons that experts in local commercial property management will be happy to try to explain.