Building a shop -- good investment?

**96Mustang460cid** · 07-05-2010, 08:42 PM

What are the economics of building a shop? For example, if I spend $35,000 building a 30x40' shop (concrete pad, building, insulation, garage doors, electricity, ect) on a small acreage (~5), would it be reasonable to say that value of the property would be increased by that same amount?

My wife and I are buying a home near Oklahoma City, OK (not in the city, but within 30 minutes drive) and we're not sure building the shop ourselves is a good investment. We can consider homes/properties that already have a shop built or we can look at all the homes and build the shop ourselves.

Thanks,
Michael

**marykaichini** · 07-06-2010, 01:16 AM

Now building is not a good investment. It's better to buy a shop already prepared with everything.May be in future when the prices will be the previous it will be good, but now I wouldn't advice you to do it.

**markbrian** · 07-06-2010, 07:04 AM

I would talk with several agents in the area you are looking at and see if what is possible. It may be possible to find a property suitable for you that is priced right and then you will not have to build the shop.

While building a shop may increase the value of the property, I would not think you can expect to get 100% of your investment back. It may help make the property more attractive to certain buyers when it comes time to sell.