When it comes to selling commercial property today, it is fundamentally important to ensure that the correct method of sale is selected. This is where the professional real estate agent will advise the owner of the property and give examples of the alternative methods of sale.
Not all methods of sale work well at the same time, on the same property. The best method of sale for the property promotion should be the one that attracts the buyers to the property and encourages them to act in the sale. If the wrong method of sale is chosen, the buyers will find the sale process frustrating and will be inclined to sit back and wait to see how the property promotion evolves.
Time is of the essence when it comes to implementing a property marketing campaign. If you cannot capture and encourage the enquiry within the first six weeks of the marketing campaign, it is likely that the property enquiry will slow and diminish. That is why most of the marketing money is spent at the front of the campaign rather than being spread across a lengthy period of time.
The techniques for selling commercial property are the methods of sale and here are the four main methods consider:
- Selling a property at a price tends to be the preferred method of sale for many vendors. The vendor scan set their price at the beginning of the campaign with some margin for movement in negotiation. This therefore removes the threat of the unknown when it comes to price establishment. Unfortunately a property that is taken to the market by this method will usually take time to sell as there is no urgency in the sale process. The buyers can take the time and look at a number of properties before they will make any offer on the subject property. Overpriced properties may not even get an offer.
- Selling a property by auction is more desirable when it comes to momentum and encouraging buyers to act. It should also be said that not all properties auction well. The best properties to take to auction are those that are attractive and in demand. An unusual property with limited buyer interest should not be taken to auction. As part of the auction campaign it is wise to structure a vendor paid marketing package that comprehensively promotes the property into the target audience. Normally this would be a vendor marketing commitment of about 1% of the expected sale price. Read the rest of this entry »