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Real estate investors usually think of converting their residential properties into commercial properties because commercial real estate gives more revenue than residential. The investors prefer this conversion because of various reasons: avoiding commercial property tax, shortcuts of buying commercial real estate and earning more. There are certain things that you should know before considering conversion. The first and foremost thing is a local law; for instance, in gated communities or local housing schemes, particular bylaws forbid people to convert any residential property into commercial. Some residential estate owners don’t want any commercial property near their homes, and they file complaints against them. So, make sure that the bylaws or local laws allow you the conversion. It would be better if you take your neighborhood in confidence as well. So, in our opinion, it is more immeasurable to look for a shop for sale rather than a house for sale that you might convert into a commercial property. 

In shortcuts to wealth, we would recommend you not to go for shortcuts because shortcuts usually lead to disasters. You might end up dissipating your investment or confronting legal actions than generating revenue. For those aiming to convert the property to avoid commercial property tax, we would like to inform you that it is not the case. The taxation department, electricity supply company, and other service providers will impose commercial property taxes when they discover your property is converted. And if it is against the local laws, they might inform legal authorities, and you might be charged with hefty fines. In the case of illegal conversion, you won’t be able to advertise. There are specific ways through which you can legally convert your property. First, you will have to assess the need for the commercial estate in the area you plan to convert. Further, you will need a NOC permit letter from the authorities.