Property Pricing and Listing – 7 Pricing Factors to Build More Property Enquiry

When looking at a commercial property as a real estate agent and for the purposes of listing, care must be taken in totally understanding the main factors that affect price. When the price is right, you will sell the property. When the price is wrong, you will waste a lot of your own time, and sellers of the property will be unhappy. When you cannot sell a property, the market will notice, and that can impact your business profile as a real estate agent.Successful agents sell property; they do not just list property.A commercial property that is taken to the market for sale or for lease should be structured to an extensive marketing campaign over a 6 to 8 week period; after that it will be stale and old stock. If a sale or a lease has not been achieved in that time frame, and the marketing campaign has been successfully conducted, it is more than likely that the property will not easily sell or lease in the immediate future. It is better to have shorter exclusive agencies that allow focused marketing campaigns, after which the property can be withdrawn from the market for repositioning or re-pricing at a later time.Expensive and lengthy time on market, and open listing processes should be avoided where possible. The strategy you use is everything when selling or leasing a property.The factors that impact the price are many but here are some of the main ones. Importantly you should understand the factors in your local area that really do impact the enquiry and the deals. The more enquiries that you generate from well-priced property listings, the more effectively you can build your database for future use as situations allow.
Location with a property can be many different things. With commercial property it is largely to do with the business precinct, access to customers, access to ports and transport, exposure to freeways and highways.
The improvements on the property and the condition will have relevance to particular types of tenants. Not only that, they will also be in a level of repair that may or may not help the tenant with their business processes. Before you can price a property, you must inspect the premises and the improvements to get a solid understanding of how they can perform efficiently and effectively for the future occupant.
Services and amenities to the property will help tenants in occupation, and businesses to flourish. As times change, these services and amenities to the property should be modernised by the landlord. As a property ages, these services and amenities should be kept in line with investment expectations.
The price that you choose for the property after discussion with the client must have relevance to the surrounding market and comparable properties. Nothing can destroy your marketing campaign more effectively than over pricing the property. Buyers in this market are selective in what they choose to enquire about. An overpriced property will not even generate enquiry, the market is that fickle.
The method of sale for the property should be carefully considered. The method of sale must be that which is regarded as most effective given the conditions of your local market. You can choose between auctioning the property, expressions of interest, tendering the property, sale at a price, sale without a price, sale by exchange, or sale by negotiation. Make the right choice.
What financing is available for the property to be of any interest to the buyers out there at the moment? Is the property in a price range that creates challenges in getting finance today? Speak to local lending institutions to understand the availability of finance and what the current lending criteria may be.
The Sellers motivation will have relevance to your method of sale. If they are looking for particular results such as time on market, terms of sale, or marketing strategies, then carefully consider how this motivation should be structured into your listing process.
These are some of the main issues to consider when pricing a property. As a real estate agent, you should seek to understand the market and the client fully in every respect. It is this knowledge that will help you promote the property effectively and achieve a more timely result for the client.

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