To help you in the selection process, below are 10 essential questions to ask before hiring a Commercial Real Estate Professional.
1. What is your experience with commercial properties?
It is important to know how much experience and expertise a REALTOR has when dealing with commercial properties. Find out what types of properties they have worked on in the past and how long they have been working in this field.
2. How familiar are you with local zoning laws and Restrictions?
Every area has different zoning laws and restrictions that could affect your property’s value or usage. Make sure your potential REALTOR understands these laws and can help you navigate any challenges that may arise due to them.
3. What strategies do you use for marketing and advertising?
An excellent commercial REALTOR will have an effective plan for marketing and advertising your property to reach as many potential buyers as possible. Ask them what strategies they use, such as online or print ads, etc., to understand their approach.
Most Commercial Brokers passively market your property. We call this 4x8x55 marketing. Sure, they get a billboard hoping that a passerby will see it and be interested. In most cases, these activities don’t capture the audience you are trying to connect with at the pace you expect.
At RE/MAX Commercial Advisors Group, we take it a step further by actively advertising our clients’ properties. We identify the highest probability tenants for your property and then reach out to them proactively, making sure that we are connecting with the right prospect from the beginning, saving you time, energy, and resources. Yes, we do passive marketing as well, but have found in most cases it’s the active marketing that gets your property moving.
Our intense focus on active marketing ensures that the right prospects are reached, saving you time and resources while helping you maximize the value of your property faster than you may have thought possible.
Make sure the commercial REALTOR you choose is actively looking for prospects, not just playing the waiting game.
4. What kind of network do you have?
A good network of industry contacts can be beneficial when finding buyers or negotiating deals quickly and efficiently. Ask your potential REALTOR about their network of contacts, so you know who they can rely on when needed.
Knowing who to contact in the real estate industry is essential for success. Your REALTOR should have a large network of professionals, such as attorneys, bankers, contractors, surveyors, engineers, accountants, and 1031 qualified intermediaries.
However, it’s not just what you know that counts; it’s WHO you know – being familiar with the right people can help to facilitate deals quickly and efficiently.
Don’t hesitate to ask your potential REALTOR about their professional contacts when deciding.
5. Do you offer any other services besides listing my property?
Many REALTORS offer additional services beyond just listing a property for sale or lease, such as helping with paperwork, arranging financing options, coordinating inspections, etc. Ensure you know all the services offered so that nothing falls through the cracks during this process.
6. How often will we communicate?
Good communication between a REALTOR and client is essential for success during any transaction process—commercial or otherwise—so ensure this is established upfront before signing any contracts or agreements. Ask how often they prefer to communicate (e-mail, phone calls) and make sure both parties are on the same page from start to finish regarding expectations around communication frequency.
7. Do you specialize in one type of commercial property?
Real estate agents often specialize in one particular property type, such as industrial buildings, retail spaces, office space, etc. Knowing what type of specialty your prospective agent has can help narrow down their list of potential clients based on their areas of expertise.
We understand that specialization in one type of commercial property is incredibly important. However, we have found that taking solutions for various asset classes and applying them to a different property can also be useful in getting the most out of a property. At RE/MAX Commercial Advisors, we have the expertise to bring in best practices from other spaces, such as retail, to provide the knowledge to succeed and maximize value for our clients.
8. Are there any fees associated with using your services?
Most real estate agents charge fees associated with using their services – some upfront payment while others charge commission upon successful completion of transactions. Understand what these costs entail before signing any contracts or agreements.
9. Do you have access to real market data?
Knowing the right market data is essential when making important decisions. In Texas, some of this information is not public record, but we find the data that gives you a greater knowledge of the area and can provide more insight into how to proceed.
Most agents do not have access to real market data, which makes it impossible to make informed decisions and get granular detail about a particular property or area. We provide special access to this type of data, allowing our clients to make the best-informed decisions with confidence.
10. How quickly can I expect results?
Finding just the right buyer (or tenant) for any commercial property takes time – but knowing approximately how long it takes makes all the difference when trying to meet the deadlines or goals set by stakeholders involved in this process. Asking about expected time frames helps ensure both parties remain on track throughout the transaction.
When looking for a Commercial REALTOR, many questions must be answered before making any commitments or entering into an agreement. With proper due diligence and research, one should be able to find the right professional partner who can assist them in reaching all their goals when dealing with commercial properties!
These 10 questions are valuable starting points to determine if this individual/company suits the job!
Are you ready to buy or sell your commercial property but are unsure where to start?