Deals are still getting done!
But in today’s market, buyers and sellers often have to be a little more creative to get to the closing table. Here are a few things we’re seeing help move deals forward:
• There Has to Be a Reason to Move
The strongest deals usually start with a clear need.
- A business needs more space.
- An investor has a 1031 exchange deadline.
- An owner is ready to retire or move on.
- A company needs to reduce costs or expand.
When there is a real reason to make a move, there is often more urgency to get a deal done.
• Financing Is a Bigger Part of the Conversation
Seller financing is one option getting more attention.
It can give buyers additional flexibility with things like interest rates, amortization and other loan terms.
For sellers, it can create an income stream through interest and potentially provide tax advantages, while also helping a transaction get across the finish line.
Seller financing isn’t right for every deal, but it can be a useful tool when traditional financing doesn’t quite work.
Other options, such as SBA financing, may also make sense depending on the property and the buyer’s intended use.
• Terms Matter
Price is important, but it’s not the only consideration.
The right terms can make a property work financially for a buyer or investor even when the price isn’t exactly where they initially expected.
Cash flow, upfront costs, financing terms, lease terms and future plans can all impact the decision.
• Price Still Matters
There isn’t a fire sale happening across the commercial real estate market.
But buyers and tenants are paying closer attention to the numbers, and pricing matters.
The deals getting done today often have some combination of:
- The right property
- The right price
- The right terms
- A motivated buyer or seller
If you’re considering how to position your property to sell or lease, give us a call.
Emma McDaniel Lunning, CCIM
864-576-4660
emma@mcdanielandco.com