Commercial Property Investment Auction Tips for Sellers
December 7, 2017
We’ve all heard and read tips and advice about commercial property investment auctions for buyers but how about the seller’s point of view? What do traders need to do and not do? We’re here to fix that as we share the following set of guidelines and reminders.
- Know the worth of your investment. – Before anything else, it is important to determine how much your commercial property investment is valued for. We can’t sell it well, let alone auction it off, if we’re not aware of how much it is actually worth in the market.
- Set a realistic and acceptable reserve price. – This refers to the price stipulated as the lowest acceptable amount of the commercial property investment sold at the auction. Essentially, sellers can name any price they want but it is important to choose an amount that would benefit you instead of lean towards a loss. Check out the price of similar assets in the market. Talk to your agent if needed.
- Find a company with a proven track record. – You can’t hold an auction on your own. You’d have to tap an auctioneer or an agency that organizes and does these things. It’s also important to find one with expertise and experience in dealing with commercial real estate and those that have effective and aggressive marketing and advertising for a big reach and exposure. Read up, research and run a detailed background check. You don’t want to put your hard earned investments in the hands of someone who isn’t qualified for the job.
- Prep the asset for visits. – Interested buyers will come to take a look regardless if the auction is held offline or online. This makes it important for sellers to see to it that it is prepped and ready. Clean it up, perform repairs and maintenance, add upgrades where needed and do some decent amount of staging.
- Don’t cheat. – Never ask a friend or colleague to help you take the price of the asset up. Not only is this unethical and considered as cheating but it likewise interferes with genuinely interested parties. This is not how we play. Additionally, never tell anyone your reserve price.
- Stay logical and realistic. – Again with the adjective, eh? It’s easy to dream when we think about getting into a commercial property investment auction but as much potential as they have, set your expectations at a sensible scale. It’s okay to be positive but it’s best to be realistic.
Hasten a Commercial Property for Sale London
September 14, 2017
Selling something that’s physically and financially massive can be quite the challenge. This is perhaps the reason why not a lot of people go into the business of real estate despite its promising returns. It takes a lot to do and it’s not for the faint of heart. But most experts would agree that putting up a commercial property for sale London can be done effectively in as little time as possible. Of course, that comes with the right tricks.
So how should it be done? Here are fool-proof and evidence-based tips and tricks from the experts themselves. Check them out and see for yourself.
- Take the right photographs.
In order to sell a property fast, you need to make buyers do a double take. You can’t do that with poor quality photos. As visual beings, humans are first attracted to what they see and providing well taken images in your listing will make it easier for them to visualize the space.
- Keep it spacious and tidy.
Expect people to come and take a look. If you did the first tip well then you’re looking at several visits in a day so make sure to tidy things up. No one likes a dingy property even at dirt cheap cost. Open up space too by letting as much natural light in and using the right fixtures. Don’t forget to perform the necessary repairs and upgrades too. Buyers don’t want commercial spaces that scream “more work”.
- Advertise the availability of parking space.
Since we’re talking about a commercial property for sale London, chances are we’re looking at a space that will hopefully draw as many customers in. And one way to chase them out is by providing inadequate parking space.
- Market it to the right audience.
No matter how great the investment is, it will remain unsold if it is not marketed to the right audience. Make sure to identify them from the very beginning as the other efforts to be taken will revolve around this,
- Take advantage of available marketing methods.
To better hasten up a commercial property for sale London and finally enjoy its returns, take advantage of the available advertising platforms before you. Make use of massive signs placed in front of the property itself. Send some flyers to neighboring establishments who may be looking at expanding their space. Go into social media, online listings and community boards.
Safety Features for Your Property Investment UK
May 30, 2017
When it comes to acquiring a property investment UK, one of the key features to consider is safety. After all, who doesn’t want to safeguard themselves and their belongings? But more than ensuring that the location of the asset is safe and secure, one also has to play a part. You’re going to have to apply certain practices and likewise invest in features and items that will uphold this.
Now, there’s more to security nowadays than mere bolts and locks. Sure, they’re still pretty handy but you may want to consider getting the following too.
- Burglar Alarms – These pertain to various types of electronic devices that trigger a loud noise and/or alerts proper authorities and individuals when someone attempts to make unauthorized entry to any property. In many instances, they include CCTV cameras. These may not come cheap but they help heighten the security features of any space making them a worthwhile and valuable addition.
- Driveway Warnings – Not everyone has the extra funds to install those high-end cameras and alarm systems but of course if you can then go ahead and do so. One way to make do about this deficiency is to opt for pebbles on the driveway. They’re easily accessible and very affordable. The reason why this works is because they make noise every time someone passes by it be it a person or a vehicle. In a way, it can serve as an early warning device.
- Safety Vaults – More than your regular wardrobe, drawers or cabinets, there’s more to these vaults than a mere “lock and key”. These are a special type of storage device used for the safekeeping of very important possessions such as but are not limited to money, jewelries, contracts, documents and other similar important and/or valuable items. What makes them special is that they are heat-proof, water-resistant and can withstand a high degree of shock and pressure making them hard to pry open without a code.
- Keyless Entry – The thing with old door knobs in most property investment UK options is that they can be picked. Although there are products that may prove harder to tinker unlike others, it’s always best to opt for something that’s more secure and hard to decode and pry. This is why we also suggest the use of keyless entries particularly in the entrance doors around the house. Instead of a key, these will instead require a special set of codes or similar other requirements.
Realizations After Attending My First 5 Property Auctions
March 28, 2017
I’ve been to a number of property auctions and hear me when I say this. It’s not everything people say that it’s cut out to be. I’m saying this with a bittersweet tone. These intense real estate public sales characterized by an open cry competitive bidding gives you more than you’d expect and less of what you’d think it is. Confused? Allow me to expound.
Before participating in my first property auction, I had my own expectations some of which were proven true while others were just flat out myths or things I thought were true. After having attended my first 5, I’ve managed to amass realizations quite aplenty but since we don’t have all day, I’ll try to lay them down in brief.
Realization: There’s a lot of homework to be done.
One has to prepare for the auction ahead of time, in fact way earlier than its scheduled date. Allow me to enumerate. One has to run a background check on the auction house and the properties one wishes to acquire. Said assets need to be personally visited and examined by a chartered surveyor. There’s also the need to understand the terms and requirements as auctions tend to vary from one to the other. Of course, let’s not forget about financing. The list goes on really.
Realization: Winning sometimes means losing.
Just because you’re the highest bidder doesn’t mean you won. In many instances, yes we take home the prize. However, there are times when bidders get way ahead of themselves and acquire something they don’t really need, can’t afford or overpay for.
Realization: Keep your mouth shut.
When attending property auctions it is important to withhold information and avoid showing too keen interests. Why? Divulging one’s intent on a certain asset will not only raise the other buyers’ attention but it can also be used against you by the seller. Knowing how much you’ll want it, they can increase the starting bid.
Realization: Put your head above your heart.
This one is not new. A lot of buyers make the mistake of overbidding or acquiring assets they don’t need or can’t afford, as mentioned earlier. Property auctions are heightened and fast paced sales that create and generate so much buzz. They’re a thrill to be precise. But a smart investor knows when not to engage in a bidding war and how not to let emotions throw them off balance.
Check out some auctions at http://www.usauctions.net.
Funding Options When Buying an Investment Property for Sale UK
March 15, 2017
When buying an investment property for sale UK, one of the first questions that pop in every investor’s head would be regarding funds. How am I going to finance this acquisition?
It’s a rather logical and practical query if you ask us. After all, accumulating enough cash to completely purchase any property often takes time both because it’s a rather huge sum and because pooling and/or arranging it requires it.
Knowing one’s options is just as crucial as choosing which medium to use. This is why we came up with a list of the most common and effective financing alternatives that can help you purchase that much coveted investment property for sale.
Choice #1: Bank Loans – As its name suggests, these are borrowings made to a bank to be repaid with interest on or before a fixed date in lump sum or in equal intervals. It is a long term credit that’s often massive in value which is why it often takes time to process and demands a strict number of requirements prior to approval and cash release.
Choice #2: Mortgage – Also known as asset-based lending, this is a loan secured by collateral which can include both corporate and personal assets. In other words, inability to repay the debt will constitute to a foreclosure of one’s assets. Like bank loans, the principal will have to be paid with interest often for five or more years until the entire credit is completed.
Choice #3: Receivables Finance – Particularly directed at businesses, this makes use of sales invoices o trade receivables to raise the needed financing. Here, the value of the invoice/s are advanced even before they mature or in other words prior to payment collection from one’s owing customer/s. The beauty of it is that it’s not a liability but rather an asset transaction and it can be arranged in as fast as 24 hours. However, the total cash pooled through receivables finance will ultimately depend on the invoices. This is why this option is mostly used to fund pre-purchase and post-acquisition costs instead of the investment property for sale’s price tag.
Choice #4: Bridging Loans – For immediate and short term liquidity needs in buying an investment property for sale, a bridge is your best bet. A type of short term interim finance, it is taken out while one’s bigger and permanent financing is still being processed, arranged or is yet to be available at a later date.