Are you planning for converting your commercial property to residential?
Well, we all know that to rent out a property like this has its numerous advantages, but always remember to go through every detail before you execute it.
As we all are aware of the fact that converting a commercial property can possess you with some difficult logistical verdict. When you start planning and scheming about the new area, there are certain things we should always keep in mind such as health, safety, security, and many more things.
Well, the question is how to change the use of commercial to residential.
It is not as easy it looks but had a great ROI for developers. In simpler terms, commercial property is usually an office or workshop building and you are planning to convert it in a block of flats, HMO or any house. One of the greatest advantages of converting a commercial sector to residential is that commercial property has generally lower value than that of residential property. And all this is due to the engorgement in the commercial property sector or market.
Another advantage of remodeling commercial property to residential is that they are mostly lower in price due to left vacant for a longer period of time. As a result of which the owner is going to sell the property soon and at reasonable rates, just to deracinate their current maintenance expenses.
Pros of converting the commercial property to Residential property:
- The shops who are already permitted under the Development right are not required to get the planning permission.
- In case, you require planning permission it is easy to get as the National Planning Policy Framework grant it easily to the property that is vacant for a longer period of time.
- You are getting the bigger property at reasonable rates.
- You will not be required to pay high stamp duty as the non-residential properties are liberated from it.
- You will not be required to pay Vat when you make your commercial property go into some construction work to convert it into the residential one.
Cons Of Converting a Commercial Property to Residential One:
- You will be required to pay some fees in case of applying for planning permission.
- You will be required to take a professional survey of the commercial building which again makes you spend money.
- Sometimes it may become money pits for you if not managed properly.
- Once the planning permission is done you will be required to hire a development financer for the project which can turn out to be a bit costly for you.
When converting a commercial property to residential one you are required to meet some requirements as a landlord:
The journey of the landlord, in this case, is both exciting and thrilling one. As a landlord, you have to make sure to protect your pocket in every case when meeting your requirements such as safety standards.
You need to make sure you meet all the requirements that make your commercial conversion endurable. Take a look at the requirements specified below and make sure that they are met before the tenants move into your property:
- Fire Safety
- Healthy environment
- Electricity safety
- Safety Regulations
Consequently, we can say that converting a commercial property to residential one can be seen difficult at first but it will work out smoothly once you get into the procedure. All you have to do is just go according to the rules and the regulations and soon you will be able to transfer your property into a residential area.