5 Tips to Sell Commercial Real Estate Fast
Selling commercial properties takes finesse. The days of sticking a sign in the ground and waiting for buyers to call you are over. Placing ads online or on social media isn’t enough – especially if you’re looking to take the “sale by owner” route.
Statistically, selling commercial real estate takes longer than residential properties. That’s because the process is specialized and requires more legwork. However, the payback is more than worth it, as commercial investments tend to be quite lucrative.
Understanding the nuances of the commercial market could very well mean the difference between selling your investment properties at a steep discount or above market price. Let’s explore a few tips that will help you sell commercial real estate the right way.
Top 5 Things You Must Know About Selling Commercial Real Estate
1. Market yourself
In today’s commercial real estate market, only what is marketed can be sold. You can’t just list your properties and expect buyers to find their way to you. Marketing your properties results in exposure, allowing you to attract a large number of buyers in a short period. That said, selling commercial real estate also requires you to market yourself, as you will need a lot of connections in your community.
Make yourself available at local networking events and build a contact list of lawyers, business owners, local investors, lenders, and other property owners. Doing so is a great way to give people a reason to keep coming back to your site for updates.
2. Know what your potential buyers look like
Are they investors? Is it a business looking to occupy the property?
One of the main ways you can find a buyer is to adopt account-based marketing, where you identify potential client accounts and tailor your marketing messages to them. Now, this is a great strategy if you’re looking to sell your property to a business, such as an office building or industrial space.
Real estate investors, on the other hand, are looking to make money by either leasing out the property, or selling it at a later date for a profit. They’re more likely to make a cash offer, but they’ll need you to provide a cost-benefit analysis of the potential purchase.
3. Understand the market
Your marketing strategy will depend on the type of commercial property you’re looking to offset. For instance, hotel and motel real estate attract different investors than office spaces or multifamily properties. Moreover, you need to compare properties that have similarities.
The idea is to understand the transaction from both sides. This way, you’ll know the other party’s priorities, making for a more efficient negotiation process. Commercial real estate marketing has evolved quite a bit over the last few years as virtual tours, and virtual events are taking center stage. Shifting your marketing dollars from print to digital could just make the difference, making it important to keep up with marketing trends.
4. Be prepared
Call your real estate attorney and order your title immediately. In short, identify the hurdles that would prolong the selling process and take care of them first. At the minimum, you should have the following paperwork ready:
- Environmental survey – Make sure to update it, if its older than six months
- Rent roll, profit, and loss statements
- Copy of title deed
- Previous appraisals
- Tax info regarding property
Be sure all your paperwork is accurate and up to date. You want to have everything ready for when a buyer comes along.
5. Get in touch with a broker
Working with a commercial real estate broker has many advantages beyond negotiating and closing the deal. They can ease the complexity of commercial real estate transactions and ensure you get a favorable return on your property. For one, brokerage firms have to keep up with current industry trends, which can give you an advantage up in the selling process.
An experienced broker will help you set an effective sale price depending on your property’s value and the market conditions that also allows room for negotiations with potential buyers. They also understand the market inside out (comparable sales, current inventory, and an extensive network). Any broker experienced in commercial real estate sales will have a list of active buyers ready. More importantly, they represent your interests at all times.
Sell Commercial Real Estate with Ease by Working with Anthony Maccaroni
When you have questions about selling commercial real estate quickly, Anthony Maccaroni has the answers. As an experienced commercial real estate broker, Anthony has the expertise and resources required to close a sale in the time frame you want.
Anthony has decades of experience working with clients in Pinellas County and other areas in Florida for buying and selling commercial real estate properties. Anthony has access to data and information about listed and unlisted commercial properties no other agent or broker has.