The real estate market has been very soft ever since the turn of the year. The market is a classic example of a “buyers” market where buyers seem to have all the dominance. In the current market sellers are extremely reluctant to sell as they assume they won’t be getting good value for their properties. While this may be partially true, it doesn’t mean that sellers won’t be able to sell for a fair market price.
Selling real estate is an art and sellers really need to exercise their skills in order to get good value for money, especially for commercial properties. So for all the commercial property owners out there looking to sell, we have some tips that can help you market your property better.
Find the right real estate agent to work with:
First things first, as always! Selling Commercial Property can be a challenging task, especially for amateurs. So there is no harm in reaching out to professionals such as real estate agents to market your property. This may have been the first market slowdown that you may have seen, but experienced realtors have survived similar or worse situations and have the knowhow of marketing your property. That being said, you can’t just hire any real estate agent.
Here are the following questions you must ask before you hire a realtor for commercial properties:
- Does the real estate agent have a reputation of being specialized in the commercial property industry? After all selling residential homes can be a different ball game compared to commercial property.
- What is the realtor’s track record in the recent past? Has he/she sold any properties in your region recently?
- What is the average value of property that is dealt by the realtor? If the average is higher than your property value, then chances are that you might get lesser attention. If the average is lower than your property value, this could be a case of too big a task for your realtor.
- Does your realtor have any references? It would be best if you work with realtors that are referred to you by an associate or family or friend.
Do keep in mind all these point when selecting a realtor. And after selecting one make sure that you define the terms of agreement such as the realtor’s role and fees, so that last minute hitches can be avoided.
Estimating your property value:
This can seem an easy task but more often than not turns out to be hard. You could have your own predispositions and notions about the pricing that could turn out to be far from the actual figures that buyers are willing to pay. While it is common for sellers to value their properties higher than the going market rate, an unrealistic price will deter potential buyers from even entering into negotiations.
So here are step you have to undertake while valuing your property:
- Scout around the neighbourhood and check for on-going prices and suggestions from similar property owners as to what is a reasonable price. Set this as a benchmark price.
- Ask a professional such a real estate agent or a property valuer for an estimated property value. Professional help will always be useful in turbulent market conditions.
- Determine what is the lowest price that you would be willing to sell at.
- After establishing a fair price set a buffer or a margin that you could use during negotiations with buyers. This would help in creating a win-win situation where buyers feel that they are able to negotiate the price down, while you still ensure that you sell the property for a fair price or higher.
It is often during the price negotiations that deals are often won and lost. So make sure that you don’t set a price too low to regret it at a later date or a price to high that will make realtors and buyers avoid dealing with you.
As we have previously mentioned, selling real estate whether commercial or residential is an art. And the biggest trick as a part of this art is presentation. It’s no coincidence that most buyers decide if they want to buy a property in the first visit. After all, the adage “first impressions are the best” is true when it comes to the real estate world. So here is what you have to do to get started:
- Clean up the property. Clearing out clutter and remnants of an old tenant will give the place a new lease of life.
- Don’t think twice about spending some money to do some repairs or refreshing the interiors with a coat of paint. This will provide a better visual appeal and you can more than recover the costs of the repair and painting when you sell.
- Redecoration can also help improve the look of a property, so if you can afford to redecorate the property, then do it.
After improving the presentation of your commercial property, the next step is to make sure that it is marketed in the right modes. While it is the job of your real estate agent to do the marketing, your involvement will cause no harm to the chances of selling your property.
Here are some tips, which will help to enhance the marketing campaign of your property:
- First and foremost make sure that you furnish all details of your listing. Whatever the mode of marketing may be, an incomplete listing will deter buyers from even getting touch with you. By providing all information buyers will have more confidence in the seller and are likely to show more interest.
- Harness the power of social media. Nowadays content can be spread at lightning speed across a wide network through the use of social media platforms. Instagram posts containing images of your listing and YouTube videos showing virtual walkthrough of the property will give more credibility to your listing. Twitter and Facebook can be used to spread the word about the listing to a wide range of audience.
With these tips, tricks and the right realtor, you will definitely be able to sell your commercial real estate property in the most financially friendly deal and stand to make a neat bundle!