Office Space: Lease or Buy?

From about.comvia Small Business Brief:

"With ever-changing U.S. office vacancy rates and stock markets, it is uncertain what the future may bring. A small business owner needs to carefully weigh the pros and cons of leasing or buying office space."

Pros of Office Space Buying

Lock in Fixed Costs
Availability of Interest, Taxes and other Income Tax Deductions
Additional Rental Income from Third Parties
Real Estate Appreciation Potential

Cons of Office Space Buying

Lack of Flexibility
Upfront Costs

Pros of Office Space Leasing

Prime Property More Readily Available
Frees-up Working Capital
More Time to Focus on Business

Cons of Office Space Leasing

Rents and Other Charges are Variable Costs
No Equity in Property