There are more costs associated with buying a commercial property in addition to the sale price. Learn more about all the other costs relating to a commercial property purchase with our guide.
When you purchase a commercial property, there are several costs that need to be taken into account:
An acquisition surveyor will charge a fee of between 0.5 % to 3 % of the total cost of purchase. There is likely to be a degree of a negotiation on this fee, depending upon the complexity and skills required to complete the acquisition.
Solicitor’s fees are generally between 0.5% to 1.25% of the value of the transaction. This can also be negotiated, depending upon the circumstances of the acquisition.
You may need a commercial mortgage to finance your property purchase. The terms could vary greatly from 1 to 15 years or more (Please refer to ‘Commercial Mortgages’ Section for detailed information).
Business rates are based on the rateable value. These valuations are carried out by The Valuation Office Agency (VOA). These are revised on a periodic basis. The last valuation in England and Wales was carried out in April 2010 (Please refer to ‘Business Rates’ Section for detailed information). Scotland has its own system called Non-Domestic Rates, which is carried out by the Scottish Assessors (Valuation Department) and the poundage is set by Scottish Ministers. The last revision was carried out in April 2010.
Commercial Property Mortgages