Commercial Real Estate Book - Buying Book Preview

CHAPTER 2 Why You Need Representation

Very few commercial agents are purely buyer brokers. They are usually tenant representatives but they will always take on a client looking to buy a property. It has the exact same benefit to them, they just don’t always market themselves for that because there are many more tenants than buyers. Now that that’s out of the way, you should know that you need to hire a broker to help you in your property search and purchase. There’s no way around it. The commercial real estate landscape is complex and filled with details that need trained eyes.

YOU DON'T PAY A THING FOR THEIR SERVICES

This is a huge misconception. You simply don’t pay them. The building owner pays them their commission. That commission is usually between 4 and 6 percent of the deal, but it is no worry to you. This is the biggest reason to work with a broker. It’s free expertise that you will desperately need. The homeowner and their agent are almost always ready to pay your broker’s commission. Most of the time, they’d rather work with an expert anyway. If you have a broker, you are thought of as a more serious candidate. Since there is no cost to you, there are no excuses for not wanting to use a broker. It is mandatory for most deals. You get free help from someone who knows the detailed industry in and out.

THEY ONLY WORK FOR YOU

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