Why Hire A Commercial Real Estate Broker?

Not all real estate transactions are the same. Vast differences exist between the residential and commercial market. There are many qualified and experienced real estate brokers who can help you buy or sell property, but it is to your advantage to hire a specialist when dealing with commercial or investment property. Here are the reasons why.

Hire Experience. Most real estate brokers conduct residential transactions as a majority of their business. Buying commercial property involves a multitude of other variables not present in residential real estate. Financial considerations, market analysis, fiscal viability and income potential all factor in to the decision making process. A commercial broker has the background to help clients through transactions and the experience to know how to deal with potential issues and avoid pitfalls specific to the commercial market.

Different Marketing Approach. The motivations and reasons for buying or selling a home are much different than buying or selling commercial property. This translates into a much different target market. You need someone who understands the audience and knows how to reach them effectively.

Access Market Knowledge. Changes in the market can mean the difference between a profitable venture and a bad investment. When looking at potential opportunities, you want in-depth and up-to-date knowledge of the commercial market. Commercial brokers provide this through proprietary information about opportunities and market conditions not typically available to general real estate agents.

Get Focused. By focusing on one aspect of real estate, commercial brokers develop expertise in the unique considerations that factor into commercial realty.

Save Time. A commercial specialist will minimize the time it takes to complete a transaction because they know the market and are familiar with the ins and outs of closing a commercial deal. Commercial brokers understand that for businesses and investors, this can mean the difference between making and losing money.

Save Money. The most common reason people don’t hire a commercial broker is to save the cost of paying a commission. However, the money “saved” is typically off-set by several things; time and resources spent researching and marketing, the additional time taken to successfully complete a transaction, poorly negotiated or structured deals, and lack of market knowledge that may affect the bottom line.

Negotiate a Better Deal. The art of negotiating in a specific industry is perfected with experience. For a layperson, it can be stressful and time consuming. A commercial real estate agent will handle the often tricky negotiations, acting as an advocate for the client, resulting in both lower stress and a better deal for you. In addition, proper deal structuring can save you hundreds to thousands of dollars.

Tap Valuable Networks. An experienced commercial broker has a network of people, businesses and resources that can be tapped into for your benefit. While advertising and marketing can be effective, often times connecting investors with owners is how deals happen. An experienced commercial agent has spent years building a network of other commercial agents, business leaders and investors which allows them to connect buyers to sellers.

Connect with Relevant Services. Commercial brokers will be able to connect you with other professionals to help with your transactions, such as; architects, builders, engineers, environmental consultants, legal or accounting services to name few. These connections will save you the time to search out the consultants your real estate deal may require.

Act Confidentially. There are many reasons you may not want others to know you are buying or selling commercial real estate. Commercial brokers understand that business deals need to be handled with care and discretion. Not only will they work on your behalf in confidence, they will also qualify potential buyers before disclosing information or showing a property.