Negotiating a commercial real estate deal doesn’t have to be difficult when considering a purchase among commercial MLS listings. Using common sense and identifying your needs and goals for the transaction is the first step. You should also consider both sides of the deal and make sure both parties end up happy.
Be upfront about goals
In a commercial real estate negotiation, both parties need to come out the winner. As the buyer, you should explain your goals and what you need out of the deal. The seller should also be upfront about what they need from the deal and then you can work together so both parties leave the closing table happy. This is where Menlo Group Commercial Real Estate can help. We can analyze the needs of both parties and make sure the deal works for both the buyer and the seller.
Don’t take advantage
Negotiating a commercial real estate deal should be competitive, but not to the detriment of the buyer or the seller. Although some publications may encourage a win/lose deal, you will be more successful if both parties win. As a buyer, you should not try to low ball the seller at the last minute with a take it or leave it type of real estate deal. Although you might be tempted to use this method, you could also end up with low-grade properties gained from desperate sellers.
Know your limit
Before negotiations begin on your commercial real estate property, know your walk away price. This is the amount of money you are willing to pay for the property for it to make good financial sense. When you are discussing the real estate, convey at the beginning how much you believe the property is worth and how much you can pay. If the seller wants to make a deal, they will usually meet your price.
Working with our experienced Menlo Commercial Real Estate agents can help make the negotiation process easier and more organized. We know the community and the real estate property values, and we can help you determine the best course of action. Using common sense to make sure both parties come out winners in the real estate deal will leave everyone satisfied with the transaction. Contact us here for more information on commercial MLS listings and purchase negotiations.