How to get a commercial property deal done
After careful consideration and research, you’ve reached a point where you’re ready to buy or sell a commercial property asset.
Now, it’s time to seal the deal and complete the transaction. But the sale process can be difficult to manage if gone about the wrong way and could cost you a lot of time or money.
Fortunately, there are some key steps you can take to ensure you achieve the best outcome possible and enjoy a smooth transaction.
Before you even begin this process, make sure you have all your ducks in a row. Firstly, know your investment strategy and understand the goals you’re working towards. Determine if the risks associated with your property are 100 percent worth the potential gains.
Financially, it’s highly beneficial for you to secure your finances early and, for buyers, get your loans pre-approved. Doing so will give you a better indicator of what budget you’re working with, how much you can actually afford while also fast tracking the transaction process. This all helps in making a clean (minimal conditions) offer which will assist when negotiating on price.
During this initial stage it is crucial to seek advice from your property adviser, who can provide you with the latest market data to assist with your decision-making process, as well as your trusted accountant, who understands your financial position intimately.
Property owners and buyers value responsiveness and engagement. There is nothing more frustrating than a buyer or seller who is difficult to contact, delayed in their response or downright unreliable. It makes for a poor experience and could jeopardise the deal. The same also goes for any professionals you team up with.
Act in good faith
Act with integrity and always treat the other party with respect. In any transaction you should be building a good rapport with everyone involved. This will help facilitate a smooth and amicable transaction process, as well as build your reputation for any future transactions.
Work with a great team
Partnering up with the right experts could be the difference between a successful deal and a complete disaster. Whether you’re new or a veteran to the property investment game, chances are there are still plenty of areas you lack great knowledge in.
That’s why buyers and sellers should seek the advice and help of independent property advisers, who can assist with transaction management, representation and advice.
A great finance broker or bank manager is also important, along with a property lawyer, real estate agent and, as mentioned, your accountant. Having a trusted team around you will have a tangible, commercial impact on your result.
Further, seek out specialists with significant experience in commercial property and property transactions, and have a track record of success.
Nail the negotiation
Negotiations can be confronting for buyers and sellers. Both parties are entering with certain goals and expectations, and the aim is to find the best price that keeps everyone happy.
This is why the key is to work with an adviser who can act on your behalf and do all of the heavy lifting.
A great adviser will be equipped with the latest market research and trends and, importantly, significant experience in negotiating on property deals. This removes the uncertainty, and you can be confident that you’re getting the best possible result.
At the point of agreement, a trusted lawyer should also assist in the review and finalisation of your agreement to ensure there’s nothing in the ‘fine print’ or other potential legal issues.
To achieve the best result in the transaction process, you need to be supported by the best. Whether you’re a buyer or seller, take the burden off your shoulders and let the experts do the tricky work for you, every step of the way.
The team at Broadway Property are experts in transaction management and will take care of the entire sale or purchase process, from undertaking a full property asset review through to settlement.
We will also work on your behalf to bring your property to market, by requesting agent submissions and providing recommendations for the agency appointment, and manage the appointed agency throughout the marketing campaign until the settlement.
Contact us to discuss your needs. No obligations.
Managing Director, Broadway Property
Director, Broadway Property