Choosing the Right Real Estate Location for Your Business

Selecting the perfect location for your business can be a hassle. There are many variables and factors to consider when opening a new business location and the process of finding a building that houses many of your needs already may be a hassle. You would suggest that your find a commercial property locator to help in your search. Commercial property locators will be able to search locations around the entire city in order to scout out the exact location for your business.

When looking for commercial real estate there are several considerations to pay attention to. One of the primary concerns should be the overall structural integrity and safety of the building. Purchasing a commercial real estate property with bad poor building materials and structural issues can cause you hefty repair costs and state inspection visits, I would advise you call an inspector to come out and inspect any piece of commercial real estate you are looking into before making any final purchase decisions.

Depending on your needs you may want to look into office space rental properties that can provide you with the proper space to operate your business. Office space rental are generally more affordable than purchasing a commercial real estate property and often times can provide you with the exact amenities that a commercial building can.

If you are having trouble locating a good location for your operation look into services that help you find office space that will be able to suit your needs. There are also retail options available if you’re in that market. Find retail space by contacting local real estate agents that have knowledge of the area in which you are planning to open your new location. Often times they will be able to give you tips on consumer behavior in the area and how you should present yourself to potential clients.

Thoroughly scout the area in which you are planning to open your business before you purchase any property to make sure that you are catering to the type of consumers who frequent the area. Follow all local and state mandates that regulate what you need to become legally operable. Consider hiring a cleaning service to prepare your new location for its opening day.

Choosing the right location for your business doesn’t have to be a hassle, all it takes is the right assistance and adequate knowledge of exactly how you want your business to look and how you want customers to be able to interact with your business. Follow these simple steps and I guarantee that you will be able to find the right location without all of the frustration in between.

Commercial Real Estate Tenant Screening Checklist

The length of a commercial lease is more than a residential one. Generally, a commercial unit is rented for 3-5 years. Since it involves a great deal of money, it’s important to screen tenants before renting. Read on to know the essential commercial real estate listings before renting out an office space.

Have an established process for screening tenants

One must have an established process for screening inhabitants. Prospective renters must fill in an application form. In the form, one must seek permission to do a credit check. The method makes sure that there is no discrimination by the landlord while leasing out his property.

Review credit report

There are many online services which run credit checks on inhabitants on the behalf of landlords. After receiving the credit report, owners must review it carefully and ask for an explanation if there is any delinquency. The report will make it clear whether the tenant has a history of paying bills late or has suffered bankruptcy.

Get personal information

While leasing out a commercial real estate for rent, owners must ask for personal information of the lessee. Often during such a deal, tenants use the company’s credit, information, and not their own personal information. If the inhabitant is new in the business, it’s the right of owners to know whether he/she can pay the rent incase the business shuts down. Personal information will also help proprietors to know if the renter has a criminal background or not.

Contact previous landlords

Most applications ask tenants to fill name and contact information of their earlier landlords. However, owners tend to overlook it and don’t call up past proprietors for references. It’s a huge mistake as a past owner can give valuable information, which is not available otherwise. Therefore, before renting it’s imperative to contact previous owners of the prospective occupant.

Get help from tenant screening firms

It’s not always possible for an owner to do all the checks on his own. In such a scenario, they must seek help from tenant screening firms who do credit checks, reference check, etc. Landlords can make a decision based on the report of such firms.

Interaction in person

The last part of the screening process should include a face-to-face interaction with the renter. There are several things that can’t be communicated in an application or telephonic discussions. During such interactions, owners must study the body language of the lessee. This is a great indicator to know whether the occupant is reliable or not.

Proper screening doesn’t cost owners much, but reaps huge benefits for them in the long run.

Goal Setting in Commercial Real Estate Sales

When you work as a real estate agent, you must set goals each and every year as part of your business process. Without these goals, you cannot achieve the right momentum towards the right targets. You simply do not know where you are headed. Your goals should be realistic and aligned to the market potential.

The typical goals for real estate salespeople in the industry should usually centre on:

  • The number of sales each year– You can track these from the historic sales records in the area. Most property ownership databases will have this detail.
  • The amount of gross commission from the sales generated– the amount of gross commission you achieve will be generated by the size and type of property you work on. Importantly you should be focusing on the property type that is in demand at the moment.
  • The amount of gross commission from the leasing generated– always keep an eye on the supply and demand of vacant space in your local area. Understand the types of properties that are being sought by tenants currently. Focus your leasing efforts on the vacant property that shows rental and enquiry potential.
  • The number of listings to be worked on monthly and annually– there is a limited as to the number of listings you can service in sales and leasing. Importantly the listings you work on should be controlled listings in the majority. Open listings do very poorly in the property market and are uncontrollable from the agency perspective. Open listings do not sell fast; they sell more by luck.
  • The average sale price or rental for the listings in the current market– prices and rentals always change. You need to know the trends so that you can list at the right price. Last year’s prices are not this years sellers.
  • The average time on market for the current listings in the economic climate– the average time on market for a listing will change depending on the economic circumstances but it is always impacted by the marketing program and the selected price or rental set by the property owner. The right choices here are essential to a positive result. Any property for sale or for lease will become stale in the market within about four weeks of commencement of the marketing campaign. The seller cannot waste this critical time.
  • The number of signboards in your territory and your share of that sign count– to generate a reasonable amount of market share you need signboards on properties right across your market. The more signboards you have placed in your market the better for your business.
  • The percentage of listings that you have against the other listings in your territory that are with other agencies– as part of this analysis process, understand what a good listing looks like. There is no point having a lot of listings that are poorly priced, not attractive to the market, or those that will not generate enquiry.
  • The number of listings on the Internet by location and by agency– the Internet is the most significant marketing tool for real estate agents today. Constant analysis of property listings on the Internet should occur at least on a weekly basis so you understand just what is going on with all the other agencies.

Setting these goals will allow you to focus on getting results; it will also help you with identifying the right action points to focus on.

Finding a Reliable Real Estate Broker in the Philippines – Tips You Need to Know

However the gains on selling the property is enormous with the current buyer’s market for the OFWs and affordable segments of Class D and E with seller’s market of segment A, B and C (Upper Society or Upper Middle to Low Middle Class). There has been a slow down in the demand however people are still dreaming of owning a property either for immediate need as a home or as profitable rental business.

Anyways, here are some tips in finding a reliable realty practitioner:

1.) Set an Appointment – It would be wiser for sellers / buyers to get to know first the person you are negotiating with. Make an interview him or her and get to know him/her well.

2.) Qualifications: Is he/she a licensed realty practitioner? He can show his qualifications on hand with a resume, a calling card with license to practice on it. Plus the contact numbers or he / she has a website it will have plenty of information about him/her on his short bio etc. As of today, most Filipino broker / realtors follow the Republic Act 9646: Real Estate Service Act of 2009 on which the Implementing rules and regulations plus the code of ethics is still on the process. The Philippine Regulatory Board on Real Estate Services under the Professional Regulations Commission (PRBES-PRC) overseers all the regulations in the practice of the Realty Profession. Other suggestions for sellers is to further investigate and research about the person you want to contact by reaching the following websites for realty practitioners as bona fide members of good standing Certified Real Estate Brokers (CRBs) who are members of Real Estate Brokers Association of the Philippines (REBAP), for Realtors or members of Philippine Association of Realtors Board (PAREB) and contact their organizational secretariats to verify.

3.) Knowledge and expertise – he/she must know the current condition or state of the properties he would be selling off. Sometimes will ask for a meet up with a seller and make an ocular inspection on the said property. Also must be updated with current tax laws and property zoning and valuation especially for commercial properties. Don’t forget to ask what his / her real estate specialization to narrow down your interviews and the person you are looking for. There are real estate practitioners who are very good in general brokerage, others may be focused only in project selling and marketing on newly developed markets, others maybe engage in raw land or farm land selling.

4.) Marketing experience – he/she would ask questions ranging from the size of the lot area, the price you are selling your property and any terms or conditions from modes of payment, other pertinent information like history of the home, the tax declaration and also ask for the photocopy of the transfer of title certificate. A buyer should be open to some suggestions of a reliable real estate broker on payment terms for example. A seller should also be flexible with some terms as long as it is feasible and would all the benefit the party in liquidating the property.

5.) Network – A reliable realty broker / realtor must be connected with clients looking for properties and at the same has built a large network among fellow brokers from within the organization he or she is a member of. Realty Brokers / Realtors have Multiple Listing System (MLS) for Realtors (members of Philippine Association of Realtors Board or PAREB) and Property Listing System (PLS) for Certified Real Estate Brokers (CRBs) for members of Real Estate Brokers Association of the Philippines (REBAP) wherein they can post online within their organization website or show the listing during organization meetings in order for the broker to get help in marketing and selling off your property immediately.