Questions that Clients Ask
What is a broker and who do they work for?
There are listing brokers and buyer’s brokers. A listing broker works for the seller, and a buyer’s broker helps buyers to identify the property that they are looking for. Oregon real estate law allows a broker to represent both sides in a transaction (dual agent), but I prefer to remain a single agent. My goal is to represent you and your best interests exclusively. Whether I represent you as a buyer or seller, I show you every available opportunity and market your requirements aggressively for the best outcome.
What real estate markets do you serve?
Pacwest Commercial Real Estate has experience with all types of commercial real estate properties including multifamily, office, industrial, and medical.
Is finding property without a broker a good idea?
Think about it this way: You probably only buy or sell property every few years (at most). By using a broker, you are giving yourself the best possible access to available properties or market exposure, which means you’re giving yourself the best possible chance of success. And, of course, a good broker’s knowledge and expertise will save you money. Why find property without a broker working for you and representing your interests?
Can’t the Internet replace the broker’s help?
We wouldn’t advise this for residential real estate and we certainly do not for commercial real estate. The majority of commercial real estate listings are not available to the public. Without representation, the owner’s listing broker may only show you the properties they want you to see so they don’t have to split their commission. Going it alone and trying to comb your way through the available opportunities is both time consuming and difficult. We don’t recommend it.
At Pacwest Commercial Real Estate we present our clients with every available opportunity. We scour for suitable properties and actively market your requirements. The result is negotiating leverage as multiple people compete for your business.
What mistakes do people make when searching for commercial real estate?
One of the most common mistakes people make is calling multiple brokers asking for inventory. Commercial real estate brokers are looking for a relationship with their client. Screening and analyzing properties to find the right ones that fit our clients’ needs is an investment of time and effort. I frequently work with brokers who have off-market listings. I only call those brokers asking for their list of available properties once a buyer has entered into an Exclusive Buyer Service Contract with me.
What is an Exclusive Buyer Service Contract and why should I sign one?
I have my buyers sign an Exclusive Buyer Service Contract agreeing that they are hiring me to help them locate and secure property that meets their search criteria. The agreement allows me to professionally represent a buyer’s interest.
Just as your accountant, doctor, or mechanic understands your specific needs, we understand your real estate needs and concerns. We save you time and money by helping you analyze deals that either won’t fit your needs or won’t close.
By hiring me as your buyer’s broker, you are hiring me as a personal representative who, by law, must represent your best interests to the best of my ability. And best of all: My services typically come at NO COST TO YOU! The seller is typically responsible for paying the buyer’s agent fee, and you get professional representation designed to help you seek the best opportunities and assist you in making the best financial decisions in your life.
What is the process of listing and selling a property?
After carefully analyzing your property and pinpointing the most probable sales price, we agree upon a list price. I will then ask you to sign an exclusive listing agreement. There are many steps to the marketing process of exposing your property to the market that I explain in detail in my listing presentation with you. One of the benefits I deliver to sellers is eliminating the long negotiation process that usually includes many offers, counteroffers, and back and forth haggling. The exclusive agreement to sell enables me to represent your best interests and encourage the buyer’s agent to produce a serious offer that will meet your requirements.
I represent you as the property owner. My goal is to reduce the hassle and haggling you may experience from people who just want to kick the tires. An Exclusive Listing Agreement shows that you are a serious seller, and buyers and their brokers will respect the trust you have placed with me by signing that agreement.
How do you pinpoint the most probable sales price of a property?
Incomplete or inaccurate information about your property leads to transaction failures. A good broker always requires complete and accurate detail of a property. I analyze several years of your trailing income and expenses to get a clear picture of your property and the net income it will generate. This process takes time and effort on my part to carefully analyze the property and survey the market for similar properties that have sold in the last 6–12 months. Why do I go to that effort? To ensure that we list your property for the right amount so you will see action shortly after listing it for sale. An overpriced property will sit on the market and become tired and shop worn. When that happens, brokers will stop promoting it to their clients, assuming there must be something wrong with the property. I work hard for you as a seller to ensure that your sales price is competitive and also that my marketing package is complete so that the deal sticks and closes.
Seller Services Definitions
A market analysis is an estimate of a property’s value based on recent sold comparables and market cap rates. The analysis also considers trends in the market, current lending environment, and shifts in the economy. A market analysis is used to help sellers determine listing prices, and to help buyers make competitive offers.
A consultation is a strategy session that offers a buyer or seller an opportunity to share their wants and needs related to real estate. In the consultation, I listen to your needs and then help create a plan to solve your real estate problem and accomplish your goals.
A portfolio evaluation is a review of the performance of a real estate portfolio. It is the process of comparing the return a property earned over the last 12-24 months for both cash flow as well as the investor’s equity rate of return.
Developing a High-Quality Sales Package
5 Steps for Positioning for Value
- Analyze the asset fully and determine the listing price
- Produce an attractive marketing brochure that includes a detailed property description, pictures for visual appeal, and the analysis of the property which includes the income, expenses, and market potential for the property.
- Develop a list of high probability buyers who will be attracted to the asset based on the cap rate, location, and quality.
- Implement an effective strategy and process to share the asset with qualified buyers
- Have all due diligence materials identified and addressed at the time the buyer is selected to ensure a timely and smooth closing.
Visible Signage and Listing Online
A seller may not want a for sale sign to be placed in front of an apartment complex. The owner does not want to alert their tenants that the property is for sale. We use several methods to advertise properties for sale including public sites where buyers search for properties like LoopNet, CoStar, and Crexi. We also subscribe to several private networking groups that are exclusive for commercial brokers to share their new listing and gain maximum market exposure for the property.
René’s Value to Clients:
- I educate, guide, and empower individuals, business owners, and corporations to identify financial opportunities.
- Using a custom, crafted analysis I provide facts and information uniquely created and expressly formed to demonstrate the maximum cash flow and performance of a property.
- The result for an investor is that they can identify dramatically improved asset opportunities, increase net income, and gain ownership satisfaction.