Whether you own one or a multitude of property assets, here are Tom Luck’s 6 top tips to ensure your asset achieves maximum value.
Ask yourself the following questions...
Are you receiving good considered advice, helping you understand the true value of your asset? It might be worth more than you think! Equally it won’t sell if the price is too high. Go with what makes sense not what you want to hear.
Use an experienced agent with a proven track record, contacts, plenty of ideas and some energy, along with an established and up to date database. After all what you are looking to sell is probably the most, if not one of the most, valuable assets you own. Are they the right people to advise on value and how to maximise the value?
3) Guide price
It is vital the right guide price is set. Yes I’m sure you want to sell for the highest price possible, just about everyone does, but that won’t happen if no interest is generated because the strategy is wrong. Put yourself in the shoes of a potential buyer, making a firm offer particularly on a development opportunity or investment requires potential purchasers to invest their time and in some cases money. There are only so many hours in a day, so what is going to attract them to your opportunity? Is it the guide price, potential, or how the asset is presented? Would you enquire to purchase a car if it was clearly being advertised for too much money?
4) Marketing strategy
What is it? Every property is different and therefore the strategy needs to be tailored to the asset and clients situation. Marketing generates interest, if you don’t have interest then you aren’t going to sell your asset.
When considering fees look at what the agent is both willing and able to do. Is the fee on a ‘no sale no fee’ basis? If it is then you are only paying when you get the result, it is the agent making the investment of their time and money.
6) Marketing material
Make sure the agent is going to invest in the marketing of your asset both in terms of time, methods and spend. A comprehensive and factual brochure is required with all the relevant information interested parties are likely to require, but not too extensive that it proves boring. Is the marketing high quality? Professional photographs? Website offering? Social media presence? Is the agent going to be proactive and actually speak to potential buyers/tenants rather than relying on the internet? Is a comprehensive marketing service being offered, or is it just one person and their website? There are agents that will take instructions based on low fees but how much are the willing and able to invest in the marketing? How well known are they? These days it is very easy for one or a few people to set up a website at no real cost, but what reach do they actually have? If you were looking to buy would they be on your contact list? If that isn’t the case, why and how are they going to maximise the value of your asset?
Tom Luck - Director