Sales Process Overview
Initial Consultation
Broker and prospective seller meet to discuss their objectives, expectations, and any concerns they may have.
Review the property details, including its condition, location, and any existing leases or tenant agreements.
Market Analysis
Conduct a comprehensive market analysis to determine the property’s value.
Compare similar properties in the area, analyzing recent sale prices, lease rates, and market trends.
Beck-Reit Broker will create a Listing Proposal Presentation. The property will be given 3 Prices - High, Medium, and Low
Listing Agreement
Draft a listing agreement outlining the terms of your representation, including commission rates, listing price, and the duration of the listing.
Seller will review and sign the listing agreement.
Marketing Strategy
Develop a robust marketing strategy to promote the property to potential buyers.
Utilize various marketing channels such as online listings, social media, and networking within the commercial real estate community.
Signage on Property
Professional Photos
Drone Photos
Site Plans
Zoom Showings
Strict vetting of potential showing participants to ensure serious interest and financial ability to complete purchase.
Property Showings
Arrange and host property showings for interested buyers.
Collect feedback from buyers to potentially adjust the marketing strategy or listing price.
Offer Negotiation
Receive and review offers with the seller, discussing the terms and conditions of each.
Negotiate with buyers or their agents to agree on a sale price and other key terms.
Due Diligence and Inspection
Coordinate with the buyer for any necessary inspections, appraisals, or due diligence activities.
Address any issues or concerns that arise from these inspections or reviews.
Contract Preparation
Prepare or review the sale contract, ensuring it reflects the agreed terms and protects the seller’s interests.
Have all parties sign the contract, moving towards a closing date.
Closing Preparation
Work with a title company to ensure all paperwork is in order for the closing.
Communicate with the seller and buyer to confirm the date, time, and location of the closing.
Closing
Attend the closing with the seller, ensuring all documents are correctly signed and exchanged.
Confirm the receipt of funds from the buyer to the seller, completing the sale.
Post-Closing
Provide the seller with a complete set of closing documents for their records.
Offer additional assistance, if necessary, and thank the seller for their business, perhaps requesting referrals or a testimonial for your services.
LINKS to more Info
1031 Exchange https://www.beckreitcre.com/1031-exchange
Cost Segregation
Cap Rate
BUYER PROCESS OVERVIEW
PrE-Consultation
Buyer meet with lender to review financials and ability to purchase. Determine Budget. Beck-Reit Commercial will send you 3 Commercial Lenders if the Buyer does not have a current banking relationship with Lender.
Initial Consultation
Broker and prospective buyer meet to discuss their objectives, expectations, budget, and any concerns.
Signed Buyer Rep Agreement
This is the first formal step where the buyer signs a representation agreement with you. It outlines the terms of your engagement, specifying the services you will provide and the commission you'll receive.
Buyer Financial Lender Approval
Assist the buyer in obtaining a pre-approval from a financial lender to ascertain their budget. This step is crucial as it sets the financial parameters for the property search.
Identify Property
Based on the buyer's criteria and financial capacity, identify suitable commercial properties. This is where your expertise in the East Austin market can provide valuable insights.
Property Research
Conduct thorough research on the identified properties to gather all necessary information. This includes zoning, potential land use, and any restrictions that may be in place.
Determine Price Based on Property Research, Comps, Lease Rates, Pro Forma
Analyze comparable sales, lease rates, and pro forma financials to arrive at a fair offer price for the property. This step ensures the buyer is making an informed decision based on market realities.
Send Offer
Draft and send a formal offer to the seller or seller's agent. This is the beginning of the negotiation process and sets the stage for discussions.
Negotiate Terms
Engage in negotiations with the seller to agree on the price and other key terms of the sale. Your negotiating skills are crucial here to ensure the buyer gets favorable terms.
Sign Contract
Once terms are agreed upon, prepare and have all parties sign the sales contract. This contract will outline all the terms of the sale, including the closing date.
Apply for Loan and Appraisal
Assist the buyer in applying for a mortgage loan and getting the property appraised as required by the lender. This step is crucial for securing the necessary financing.
Due Diligence + Schedule Inspections
During the due diligence period, delve deeper into verifying the property’s condition, title, and other critical factors. This step helps to avoid any unforeseen issues later on. Proof all documentation being provided by seller.
Schedule necessary inspections of the property to ensure it meets all legal and quality standards. Address and plan for any issues that arise from these inspections.
Follow Through on Contract Terms/Deliverables
Ensure that all terms of the contract are met. Dates are tracked carefully. Buyer receives all information from Seller that is a contractual obligation
This step is about ensuring that everything is on track for a smooth closing.
Close
Schedule Closing, ensuring all documents are correct. Confirm all items required to close are in place - Loan, Property Insurance, 1031 Exchange paperwork, and funds. Leases and maintenance contracts are assigned to the Buyer. Confirm the transfer of funds and the handing over of property keys and property contacts
LINKS to more Info
1031 Exchange https://www.beckreitcre.com/1031-exchange