How can using a broker help me if I am looking for space to buy?

If you’re in the market to buy commercial property, having a broker is very important. A broker will serve several functions and bring you several advantages. First, they know the inventory in the market. They know what buildings are for sale. They know what buildings are off market, but might be for sale. You could approach them unofficially and make an offer. They know the quality of the building.

A broker will tell you if a building is good for your purposes, if the tenants in the building are good, if the construction is well done or not, if a building might be functionally obsolete, and another property might serve your purpose better.

A good broker will also tell you what the value is, what you ought to be paying for a property. They’ll run market comps. They’ll adjust those comps where necessary and tell you what a particular building is really worth and what you ought to pay.

A broker will then work with your lawyer, or with you directly and help you come up with contract terms before it goes to a lawyer and help you put everything into 1 document, 1 offer document, 1 contract document, make sure everything’s done to protect you.

Finally, and this is something most people don’t think of, a broker will help you think about your exit strategy before you buy. What are you going to do with this property in 3 years, 5 years, 10 years? How much should you expect to get for it? Will your mortgage be paid off at that time? Will you have a balloon, certain things that you won’t think of ahead of time, but it’s very important to go into a purchase with an exit strategy.