When it comes to selling commercial property, there are three reasons why hiring a commercial broker is worth the commission:
1. Market Knowledge
Your first inclination might be how hard can this be. Market knowledge goes beyond just knowing your neighborhood’s surroundings and amenities. Your REALTOR® will have the demographics, traffic counts, employment/labor statistics, zoning, and hopefully be aware of potential planning and development issues that might have an impact on your buyer’s new venture. Having an overall pulse on the community is key to drawing investors in from outside of the area. It’s about more than selling your investment property to make a transaction work…your REALTOR® may have to sell the city, region, and even sometimes the state as a viable relocation opportunity.
2. Access to the Data
- Pricing the Property. How can you determine the appropriate price to list your property without soliciting the help of REALTOR® or appraiser? Price it too high and it will languish on the market and price it too low and reduce your net proceeds. Pricing it at the correct market value is what these professionals are trained to do and they have the access to the data to do just that. History is the best indicator of what a willing, able, and ready buyer will pay for your property and pulling comparable properties that have sold ideally in the past 6 months with the appropriate value adjustments will be what most accurately determines your sale price.
- Listing the Property. Here is where the rubber meets the road. So even if you pay one of these professionals to get the “right price”. How are you going to market it? A sign in the window is merely more than an affirmation that the buyer has the correct address. You need local, regional, and national exposure and your REALTOR® has the means to do so thru commercial Multiple Listing Services, their own real estate websites, commercial memberships, and daily networking with other commercial brokers that are shopping for their own clientele’s needs. Leveraging the Internet to make the world a much smaller place is imperative when you are selling commercial property.
3. Negotiating Experience
Take the anxiety out of the process. Having a 3rd person handle the details while keeping your best interest top of mind will keep the negotiations professional and timely. With everything on paper there will be clarity and deadlines with commitments attached. There are many creative ways to accomplish putting transactions together. An experienced commercial broker will be able to make suggestions that are apt to save you money while still creating that win-win solution you need to get to closing. This experience can be priceless in complex situation that can make or break a deal.
Next, read about how to select a commercial real estate broker!