Diving into commercial property without understanding titles is like jumping out of a plane without a parachute. The landing is never pretty.
Before you sign anything on a commercial property, there are three things you need to understand about how titles actually work. Miss one and you could be liable for costs you never saw coming.
Last week was about setting your goals before you start searching. This week gets into the legal and structural foundations of commercial property ownership.
Mish breaks down the difference between freehold and strata title in plain language, starting with something most buyers never realise. It applies to residential too, but in commercial, the implications are far more significant when you layer in body corporates, sinking funds, and special levies that can hit your cash flow hard if you have not done your homework.
She also shares a case study about an industrial complex where sixty units were quietly bleeding a $93,000 deficit and multiple owners were already selling to get out.
Mish also addresses how dramatically legislation varies from state to state, and why assuming the rules are the same everywhere is one of the most dangerous things a commercial investor can do.
This episode is for you if you are:
A first-time commercial buyer who wants to understand what different title types actually mean before signing anything
Someone considering buying in a strata complex who wants to know what to check in the body corporate records
An investor who has heard the term leasehold but never understood whether it is an opportunity or a risk
WHAT YOU'LL DISCOVER IN THIS EPISODE:
06:16 - Why jumping into commercial property without education is genuinely risky
09:18 - What freehold title gives you, what it does not, and what government encumbrances on a title mean
12:24 - How strata title works in commercial property and the fine print in title deeds that most buyers never read
16:00 - The $93,000 sinking fund deficit hiding in plain sight nearly missed by a client who almost signed anyway
22:26 - How to profit from a building you do not technically own the land under and why leasehold is smarter than most investors think
28:43 - How to evaluate a short lease near a foreshore or airport development and what to check before that risk becomes your problem
Property titles, body corporates, sinking funds, leasehold, all of it is the difference between a commercial investment that builds your wealth and one that quietly drains it.
Next week Mish is breaking down office spaces, retail, and industrial warehouses, and it is another one you do not want to miss.
SHOW CREATED BY REVOLVE COMMERCIAL PROPERTY PODCAST
HOSTED BY: Mish Daniel
Ph: +61 401 313 573
Website: www.revolvecommercial.com.au
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