Advantages of Exclusive Listing of a Commercial Real Estate

Commercial real estate investing holds numerous benefits and advantages for investors when compared to residential real estate and one of the biggest tools to help you earn more with each investment are exclusive listings. An exclusive listing is a sale agreement where a specific real estate agent will earn their commission if a property sells in a predetermined number of months. This works to motivate your agent to find the highest price possible as quickly as possible and can be extremely beneficial when used for commercial property listings. While it will leave one real estate agent to show your property there are numerous benefits and advantages that far outweigh any concerns you may be having.

Maximum Exposure to the Right Tenant

Usually a real estate agent won’t agree to an exclusive listing unless they’re extremely confident that they can find a buyer in a short amount of time. Typically they also will often have a person or party in mind before even agreeing to the exclusive listing terms. Because of this your agent will show the property to interested and qualified parties only while open listings will usually be presented to a wider range of prospects including many without the right means or interest in the party.

Higher Quality Offers

When in an exclusive listing the real estate agent/broker will spend more time to find the right/best prospects for the commercial property. This due diligence tends to eliminate a long negotiation process, as they will often find the best offer possible with the first visit.

More Accountability

Inaccurate information about your property is one of the biggest reasons that a transaction will fail. An exclusive listing results in the real estate broker having complete information about the sellers’ property and able to answer any questions or details about it to potential buyers. An exclusive listing will also show how serious the seller is about moving the property or finding an investor.

Important Things to Do Before Entering an Exclusive Listing

While the benefits of an exclusive listing are clear there are a few important tasks that any potential seller should do before agreeing to any terms:

Do Your Research

An exclusive listing agreement means putting an above average amount of faith in your real estate agent/broker and you should approach it as such. Finding the right broker for your deal will help reap numerous benefits including better quality offers, higher offers and a faster sale.

Negotiate a Shorter Period

If an agent is trying to enter an exclusive listing that lasts a year or more make sure to negotiate something lower. Typically an exclusive listing is best between 30 to 90 days as it motivates the broker to find the best deal as quickly as possible and it also gives you, the seller, a good amount of time to evaluate your agent’s performance.

Read All the Fine Print

Commission percentage, period of the contact and other terms should always be checked prior to signing any exclusive listing contracts. Some agencies may work hard to get you to sign an exclusive agreement but then not show the same diligence when it comes to selling the property or finding the right investors.

The Landwin Advantage

Martin Landis and the team at Landwin have helped investors find the best value for their property for over 30 years. An industry leading LLC, Landwin finds the right investors for any commercial property and helps protect sellers as well with the knowledge and experience needed to get the job done quickly.

If you are considering an exclusive agreement to help move your commercial property then trust the team at Landwin. We understand that you want a smooth and fast process and our team will assist you in finding the best offer possible without all of the hassles and jumping through hoops like agencies and brokers do.

Please call Landwin today to learn more about your options and with any further questions regarding exclusive agreement listings that you may have.

Commercial Property