Real Estate Agents – Strengths and Weaknesses in Listing Commercial Property Today

In this commercial property market there are some real pressures and challenges that confront a lot of property owners when they want to sell or lease their property. They need the help of top agents that really understand the local area, to help in moving the property.

Contrary to popular belief, it is in markets like this that good agents can make a lot of commission. It all comes down to the way in which they package their services and help their clients.

In simple terms, top agents and experienced agents can do very well today providing they work the local area and their database. A good database will always get you through any market conditions and frustrations. In saying, that I am a big believer that a salesperson’s database should not be delegated to the office administrative staff to control.

Every salesperson should take ownership of their database; in this way they will get good activities from it. In this market you need leads that you can do something with. When a database is passed over to the administrative staff to control, the inevitable result is inaccurate and old data. The database soon becomes redundant. The salesperson doesn’t keep it up to date.

Become Change Agents

So we are the ‘agents of change’ when it comes to helping our property clients an owners get results in this market. We should know how to attract the right people to every property listing that we take on. Exclusive listings are more important in today than ever before. Some top agents will not take on ‘open listings’ for the very reason that they are a waste of time and effort.

When you know the drawbacks of the industry and the listings today, you can offer the clients that you serve some solid solutions. So what are the drawbacks? Here is a list of some of the bigger ones:

  1. The time that it takes to sell or lease a property can be longer today. Every client has to be conditioned for the best price or rent so the time on market is not lengthened. The first few weeks of every marketing effort are the most important. Position the property correctly to get the best enquiry in this time.
  2. High prices and high rents will achieve nothing. The price or rent for the property should be optimised for enquiry. You have to do more with less when it comes to marketing and inspecting of properties.
  3. A larger number of competing properties can frustrate your marketing efforts and time on market. Check out these properties before you do anything with your listing.
  4. Buyers and tenants are slower to enquire, inspect the property, and then make a decision. Your skills with each stage of the listing should be optimised. Hone your skills accordingly.
  5. Limited finance can put some ‘brakes’ on the larger deals. Find out where your prospects can get finance from and what the criteria of approval may be.

Whilst these may be drawbacks in the market, they are also opportunities for agents that can get focused and organised. Every problem is an opportunity in disguise.

Are you a solution provider in this commercial real estate market? Top agents are just that. You can be too.

A Proven Blueprint for a Career in Commercial Property Management Today

The commercial property management industry is highly specialized in many different ways. It takes time to understand the elements of the industry and the requirements of professional services supplied to landlords and tenants. The same can be said as it applies to retail property leasing and shopping center management.

If you are considering a career in commercial or retail property management and or leasing, here are some tips to help you with establishing your skills and growing your professional services.

  1. You will need to know about the current property market in many different ways. Typically you will need to understand the market rentals, vacancy factors, property types, new developments, and landlord investment requirements. All of these things will help you with lease negotiations and the services that you provide to your landlord clients.
  2. The different property types require different levels of property management involvement. Industrial property is relatively simple and basic from the management perspective given that you usually have only one tenant to monitor within one lease and one property. When you move your property management skills to an office property or a retail shopping centre you will normally be dealing with multiple tenants and variable lease conditions. On that basis you will need to know the standards of lease occupancy, property legislation applying to leasing, and the physical attributes of the landlord and tenant negotiation.
  3. From every lease occupancy there will be issues to monitor and optimize involving rental income, property expenditure, risk and liability, and tenancy placement. Each month it is normal to provide a landlord with a comprehensive property report relating to current investment performance, property maintenance, vacancy and leasing factors, together with projections from the prevailing market conditions.
  4. Most landlord clients will have a number of specific targets relating to their investments. Those targets will be shaped by the age of the property, the tenancy mix, redevelopment requirements, and the local business community. To serve your clients well, take the time to understand their investment requirements and intentions relating to the asset.
  5. With the larger properties, there will usually be a budget of relates to rental income recovery, and expenditure activity. That budget will be established prior to the beginning of a financial year and then loaded into the business plan for the property for the coming 12 months. Every month every quarter or budgeting process will be checked and changed depending on prevailing market conditions.

Professional property managers are specialists in many different ways. Some will specialize in a single property type in their town or city. In that way they can bring specific knowledge and information together with high levels of skills to the clients that they serve.