Wouldn’t it be great if we could all identify a few undiscovered transactions lurking in our database each year? For many agents, you can. Especially if you regularly communicate with your client base, SOI and are out there networking for business.
Have you ever spoken to someone who owns a business or investment property? Guess what … they need agents too! Now, I know that most of you only practice residential sales and the REALTOR® Code of Ethics and Standards of Practice cautions us from practicing in areas where we aren’t competent. That doesn’t mean that those clients need to be turned away. Wouldn’t a referral fee be better than nothing? Of course it would.
Here a few pointers to guide you to your undiscovered commission:
1. If you work for a major franchise, most have commercial real estate divisions with agents that would be happy to work your referrals.
2. Watch for a commercial educational offering that will teach you the basics and terminology so you can better understand when an opportunity exists.
3. Understand what the opportunities are. Commercial is the sales, leasing and exchange, to a User or Investor, of Office, Industrial, Retail, Multifamily and Land.
4. Partner with a commercial practitioner with experience in the areas you require and that practices the same level of service and standards of practice you adhere to for your business.
5. Ask for the business. Once you’ve found a commercial partner, don’t forget to let your SOI know that you can help them if they have a commercial real estate requirement.
Remember, most people who own a building or a business also own a home. When they bought or sold that home, chances are high that they used a REALTOR®. That residential REALTOR® already has a trusted relationship with them. Don’t let their commercial real estate need pass you by.
Richard Kato, CCIM, CFP Education Committee