Selling a commercial building can be a very lucrative choice but can also seem to be a daunting task especially if you have never sold a commercial building before. Just as you will take time to consider certain factors before taking a vacation, there are also some important factors you will also need to consider before selling a commercial building, and keeping these factors in mind may affect the success of selling a commercial building.
Be Clear On Your Goal
Before taking any step regarding selling any commercial property, you need to take the time to decide and identify why you want to sell the commercial property.
No doubt, selling a commercial building can be very lucrative, one that can involve huge amounts of money. You need to keep in mind that whatever amount will be involved, the authorities will be waiting to collect taxes wherever possible. In order to benefit maximally from the sale of the commercial property, you need to clearly consider, identify, and define your goal for selling the property.
Understand What Is Involved In The Way You Choose To Sell
There are different ways people choose to sell their property. Some choose to sell through a commercial real estate broker, to a commercial real estate investor, or even sell themselves through a For Sale By Owner (FSBO) model. You will definitely have to choose one of these ways. Whichever way you choose to sell your commercial property; it is important and crucial you fully understand what to expect.
Whether you choose to sell your property by yourself using the FSBO over selling through agents, you really need to take the time to weigh the pros and cons. No doubt, selling using the FSBO model can save you from paying certain fees to real estate agents, but selling through real estate agents can also save you a great deal of stress.
Know The Worth Of Your Property
When setting out to sell your commercial property, you probably would have a price tag in mind. It is important to know what the property you want to sell is worth, you can compare them with the price tag you had in mind, and then find a balance.
To do this, you can look up other commercial properties that are similar to yours, this will give you an idea of your property’s worth and this will help you to set an appropriate price tag as you will not have an extremely high price that will chase potential buyers off or set an extremely low price and end up selling at a loss.
What Your Potential Buyer Is Looking For
Having an idea of what potential buyers are looking for increases your chances of success when selling commercial property. Are they buying the property so as to move their own business into space or as an investment? This knowledge will go a long way in helping you decide if your building will need any renovation and what kind or to what degree of renovation will be required.
Take a good look at your building and ask yourself what will attract a potential buyer to make a purchase. Will the buyer be attracted to a space with such things as decorative acoustic panels, flowers or trees planted around, etc.
Don’t forget that most buyers if not all will always want a building that is clean and looks well taken care of. So clean windows, replace those that are broken, repair potholes, install or fix architectural metal grilles when necessary. A building that doesn’t seem to fit a potential buyer’s purpose or that looks neglected can discourage them or even affect the sale price of your building.
Sam Willis is a freelance writer that loves sharing his knowledge and expertise on commercial real estate. He lives in Atlanta, Georgia where he enjoys spending time with his wife and researching real estate trends in his free time. Sam’s work as a freelance writer can be found on Building Product Advisor, a new construction industry resource launching in the New Year.