Selling Commercial Property: What You Need to Know
If you are the owner of a commercial property, there will come a time in the future. Whether it’s the near future or further down the line. When you want to sell your commercial property to make a nice property. Knowing that this is the right thing to do does not equate to knowing how to actually do it properly, however. In the following post, therefore, we want to help you out with a list of some top tips to follow when you have a potential buyer in place.
Maintain Open Communication
From the initial contact to the very completion of the sale you must maintain an open and transparent line of communication between you and your buyer. In the first instance, you need to draw up what is known as the Heads of Terms and provide them with important like asbestos survey results and EPC proof.
Liaise with the Solicitors
Next, you need to liaise with the solicitors and send the agreed-upon Heads of Terms to your own legal representative who will request the title deed documentation from Land Registry. It is also your solicitor’s responsibility to exchange contracts, confirm that any financial transfers have been made, and answer any pertinent questions you have regarding the commercial property sale.
Wait or Solicitors on Either Side to Communicate
You need to wait for your solicitor to communicate with the buyers, and during this point in the process, the contract package will be sent. This and any relevant responses will be sent to CPSEs, that is Commercial Property Standard Enquiries.
Due diligence is usually carried out by your buyer’s solicitor. This is a step that can last several weeks and will include further communication back and forth between your party and the buyer if there are any questions they have regarding the contract.
Following the due diligence stage in the process, all of the documentation needs to be agreed upon, including terms of sale and transfer deeds.
Exchanging of Contracts
The exchange of contracts means that buyer has made their 10% deposit on the property for the buying process to proceed. When the contracts have been exchanged, a completion date will be agreed upon and this is legally binding.
Once the buying process has been fully completed, your mortgage will be formally discharged, and your buyer will become the new legal owner of your commercial property. The keys will be handed over to them and the profits you make from the sale will be freed and available for you to spend or keep as savings or investments.
Other Things to Keep in Mind
Necessary Information About Your Commercial Property. We noted above in the first step that there are many important pieces of information you need to share regarding your commercial property. This includes:
- Commercial planning use classes
- EPC or Commercial Energy Performance certification
- Business Rate Details
- Other costs
- Health and safety information, such as documentation outlining whether asbestos is present in the property or not
How Do You Want to Sell?
There are several ways to sell your commercial property. You could sell it on your own, through a skilled and professional commercial property agent, or at an auction.
If you are looking to get cash for the property quickly, you may want to look to property cash buyers only like Cash Home.
If you are interested in selling your commercial property to buyers at auction, privately by yourself or through an agent, it is important to stage it in the same way you would residential property. You want to make it look appealing to potential buyers, so they can see the benefits of your property to them and imagine themselves using the space. That is why it is a good idea to declutter, freshen it up with some neutral paint, and generally clean it.
Obviously, if you are looking to sell to cash for commercial property buyers, then you don’t necessarily need to go to all that effort.
By far the easiest way to sell any property to make money fast, including commercial property is by contacting a property cash buying agency like Cash Home.