When you locate the “perfect” commercial property for sale in Alabama you need to make sure you can finance it. That is unless you can outright pay for it. That is a nice thought but most people are not financially able to do so. Most buyers must seek financing from a bank or lending institution. Once you contract on a piece of property you usually have 30 days to close. Before you enter into a contract you need to have spent some time studying your options are far as financing goes.

One option for financing your commercial property is owner financing. If you can’t secure financing from a bank or lending institution you might ask the owner to do what’s called a commercial lease or a lease purchase. The owner might accept because basically he makes his sale and gets a good rate of return on the interest rate. When this is the owner’s only option to get his property sold he might agree. With the present unfriendly lending market, it’s difficult to sell recreational land and commercial property.

There are many terms to keep in mind concerning a lease agreement. Some of the terms include: term and rent, use, care and maintenance, alterations, ordinances and status, assignment and subletting, entry and inspection, possession, indemnification of lesser, eminent domain, destruction of premise, lessor’s remedies on default, security deposit, tax increase, common area expenses, notices, heirs assigns successors, option to purchase and subordination. If you don’t know what these terms are a great place to start searching for the definition is on Real estate wiki.

After you locate commercial property for sale in Alabama, and decide on a lease agreement, these terms will be important to you. As the seller I will tell you one that you better pay attention to: option to purchase. Before you agree to an option to purchase I highly recommend that you do a background check on your buyer, and I mean all the way back to birth! If for any reason your tenant does not perform it can be a total nightmare to get rid of them and cost you a lot in attorney’s fees. This could possibly take as much as a year to get them out and get your property back to the condition where you can move forward. Always put the burden of insurance on the tenant because this can help you if you need to evict them. And I hope this never happens to you because as I said it can be a nightmare. You will never be sorry you did a thorough background check.

I hope this outline of terms that you will certainly need to use in a commercial lease for property for sale in Alabama is helpful. They are very important I can assure you. Commercial property, a commercial lease and owner financing of commercial property for sale is very common in today’s housing market. The more you know the safer you will be in entering into a lease agreement with a buyer.

Author Bio: In 2000 Chuck and his wife Lindey developed a website called Mississippi-Landsource.com. The website was launched for uniting the real estate market in Land For Sale In Mississippi. In 2009 more sites were launched as sister sites for other states like Land For Sale In Louisiana and Land For Sale In Alabama

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