In commercial real estate, you need to be very careful as to the properties that you list. There is a great difference in the amount of interest that will be created when you market a high quality property verses a poor one. You need to make the right choices when it comes to taking on only the best clients and listings.
Whilst our clients have all sorts of problems and challenges when it comes to commercial real estate sales and leasing, we need to be quite selective as real estate agents when it comes to taking on a property listing. Your time and your marketing efforts should be directed towards the properties that have a reasonable chance of being sold or leased.
It is a fact that the top agents of the market usually focus on good quality properties that will create reasonable interest from property buyers and tenants. This single concept helps them build market share and makes the marketing and the transactions a lot easier to facilitate.
Here are some ideas to help you assess the marketing and success potential of your listings.
- Keep track of the sales and leasing activity in the local area so that you can understand what people are looking for. Pay particular attention to time on market and the best methods of sale or lease as the case may be. Choose the right methods of sale or lease that match the current levels of enquiry.
- There will be certain price ranges that are more active when it comes to properties for sale. If your listed property is to be in a range above that, you could find that enquiry will be limited.
- Track your enquiry rate through regular prospecting and a good database. This will tell you what people are looking for and the amount of enquiry coming in currently.
- Every property listing should be assessed for location, improvements, development potential, and future or best use. A property with opportunity will have the best potential of being sold or leased.
- Look around the local area to understand how many competing properties are currently being marketed. Those competing properties will influence your choices when it comes to taking on a new listing.
- Most of your listings should be on an exclusive basis. In this way you can control the stock and the enquiry. Over time the exclusive listing process will help you with market share. It is questionable whether you should take on an openly listed property where other agents are currently involved. You could be wasting your time and efforts.
- The history of the property may have something to do with the potential of sale or lease. Get details from the client as to property history, together with the current cash flow, property usage, and tenancy mix. If the property is of an investment type, you will need to assess all the leases prior to establishing the strategy of marketing.
Take care when it comes to selecting the right properties and clients to work on. In this way you can protect your opportunities for growth and income improvement as a top commercial real estate agent.