|Commercial Real Estate market information for your sales pitch is essential.|
In commercial real estate brokerage you need high quality market information to produce the right recommendations for your clients and prospects. Where you get that information from and its accuracy will be very important. Can you trust your sources? Do you know that the information is accurate and not based on ‘hearsay’?
During an average year in property investment, all of the following factors will change quite a few times:
- The levels of inbound enquiry for property purchasing
- Tenant enquiries for new premises
- Rent and price ranges
- The supply and demand for local quality property
- Negotiation factors in any contract or lease
- Government policies impacting property
- Local market conditions
- Activities and sentiment from the local business community
- Transport and other local demographic issues
- Competing properties
- Time on market
- Seasonal selling cycles
A good real estate agent or broker has to stay on top of these issues. To do that you must capture and share the right market information with key people. Quality information from the market will help you win better listings for sale or for lease.
So let’s look at where you can get accurate market knowledge and information that you can use. Try some of these ideas:
- I would start at the local planning office. Just about every sale or lease will be impacted by shifts in property planning activity, new projects, and future supply of quality property. Each month visit the planning office to see what properties are being considered for change or new development. They will have an impact on price, rents, and incentives. They will also impact methods of sale or lease.
- Monitor the completed sales and leasing activity. You can get that information from industry sale reports and fellow agents. On that basis it pays to be on ‘positive talking terms’ with some of your professional competitors. Choose some good agents to share information with.
- Watch the listings coming on to the market. Asking prices and rents will be visible in the internet advertising.
- Understand the methods of sale or lease that work for the different property types. The improvements in a property will impact the target market and your inspection strategies.
- Inbound inquiries to your office from buyers and tenants will have trends and factors that you can monitor. To lift the levels of inbound inquiry you can focus on ‘vendor paid marketing’ on all of your quality properties. Practice your presentations and listing pitches to get those funds.
- Professional Property Valuer’s and Appraisers will have plenty of industry information for you to tap into; they will only do that if you share information with them.
- Some very active quality clients will have information for you to consider from recent deals and property promotions.
So the message here is that you can ask questions of the right people to get on top of the trends of prices and rents in the local property market. Get to know the right people and share information ‘both ways’.
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