“The facts and numbers have been weighed and the decision has been made.”

You’ve decided to sell your apartment building. Great…how do you do it? These are just extremely basic things to look out for when trying to sell your apartment building.

Most apartment owners we talk to never planned on selling their building because they saw it as a lifelong investment. Some even grow a sentimental attachment to their properties. Also, they’ve all been solicited for a listing by a commercial real estate broker at some point in their holding period. So, when then decision is made to finally sell their apartment investment for whatever reason, they sometimes turn to the person who sold it to them or the next available and competent broker that comes along.

You’d be doing yourself a favor by consulting with two or three expert apartment brokers in your area to find our what your building is worth. The first step to successfully selling your investment is knowing what the market will pay for it. Try to stay away from putting your own price tag on it. We see dozens of listings that end up not selling just because the seller was absolutely stubborn about getting their price. This RARELY works. A competent broker will be able to tell you what your property is worth in today’s market and why. He/she will base the value on nearby comparable sales, current market metrics, investment quality, physical condition, and so on.

People love buying apartment buildings they can improve.  You’ll often hear brokers and investors using terms like “value-add opportunity”. That’s when an investor purchases a property because he/she got a good deal on it due to the capital improvements or rent growth that’s necessary to make it perform optimally. A common misconception among sellers is that they should wait until they’ve made all of the improvements themselves.

Have an expert negotiating on your side. As long as the building is priced right and given proper marketing exposure, you’ll generate offers. However, none of the people making offers are looking to make it easy on you. Having a confident and experienced broker can be a lifesaver in contract negotiation situations.

Feel free to reach out to us on Facebook, Twitter or LinkedIn if you’re having trouble determining whether you should sell your apartment building, or call us now at (866) 251-3851 for a quick interview.