|Avoid mistakes in listing|
Some agents list a commercial property without due care and focus. They take the listing without full investigation and review of property details. What later happens is that the client raises a problem when you are negotiating, and the hurdle is so difficult at the time of contract or lease that the negotiation could fall through.
Here are some tips from our bulletin for commercial property agents.
So the message here is to check the property fully before you take it into a marketing campaign. Here is a short list of issues that can be looked at. You can add to the list yourself given your local property knowledge and the particular property type.
- Property title and full description
- Property ownership and motivations of the owners
- Why do the owners of the property want to take action today?
- Why did they buy the property in the first place?
- When is the right time for them to sell?
- Do you need to fix up some lease or vacancy issues before you take the property to the market today?
- Details of the improvements in the property will always require review and full inspection
- Relationships of the property to any adjacent properties and boundary issues
- Property legal use and zoning permissions should be checked. Make sure that the property is legally correct for its current use.
- Development opportunities given local planning regulations.
- Any orders or notices that may be hurdles in the sale or lease
- Details of property running costs and outgoings currently that have an impact on property net income.
- Lease and tenancy mix details that underpin the property income and tenant profile.
- Up to date cash flow issues coming from the rent reviews, leases, vacancies, and tenant mix.
- Any lease expires that can detract from the marketing of the property
- Sale or lease requirements of timing and price or rent (as the case may be)
So even in this short list there are many things to consider. A checklist will always help you with the process of review and the collation of information.
Get All The FactsWhen it comes to listing a property it is better to take time in the process and get all the facts. Many of those facts will detract from or impact the price or rent. You do not want to be caught later with a ‘deal breaking’ problem that slows the transaction or takes the property off the market. It is well known that many a property owner will not willingly give you all the facts about the property; you will need to delve into the facts yourself and ask the right questions.
You can get more information about this at our website right here.