Becoming A Commercial Real Estate Agent

1. Who is a commercial real estate agent? A commercial real estate agent is a middleman between sellers and buyers of commercial real estate, who helps clients sell, lease, or purchase commercial real estate. A commercial real estate agent has the freedom to work as an independent and must be employed or work as a member by a licensed broker or commercial real estate brokerage firm , an employer of commercial real estate agents, or as a member of a commercial real estate brokerage firm. What is commercial real estate? A property is classified as commercial real estate when it is only used for the purpose of conducting business. Generally, commercial real estate is owned by an investor who collects rent from each business that operates from that property. Educational Requirements for a Commercial Real Estate Agent The basic requirement for becoming a commercial real estate agent is a high school or diploma or an equivalent educational qualification. Income of a Commercial Real Estate Agent The commercial real estate agent income is based on the commissions generated by sales. The commercial real estate brokerage commission is negotiable and, on average. If the property is being leased rather than sold, then the brokerage commission fee is decided on the basis of square footage and net rental income. Advantages of hiring a commercial real estate Agent A commercial real estate Agent can help prospective clients save money and time by carrying out the following functions: Target community and building network: In each area that a commercial real estate agent intends to work in sale or when a prospective buyer emerges in the community, so they create a network with important members of the concerned community. Understanding tax and zoning laws: Many individuals refrain from investing in commercial real estate because of the large number of complex rules and regulations governing the taxation and purchase of commercial property. A commercial real estate agent must have an excellent understanding of tax and zoning laws to complete the

2. aforementioned formalities on their client’s behalf and, thus, remove a barrier to investment in commercial real estate. Evaluating business plans: A commercial real estate agent evaluates their clients’ business plans to determine their feasibility. They often use statistical analysis (such as break-even analysis) to determine the basic margin of safety on a client’s investment. Negotiating with clients: A commercial real estate agent must have an excellent communication and persuasion skills to successfully navigate the negotiations with clients. Conducting research:Often, the success of a client’s business depends on local conditions. A commercial real estate agent has to provide prospective buyers of commercial real estate with research regarding local demographics, businesses, environmental quality, property maintenance costs, and the desirability of the location of the property. Analyzing lease payments: A commercial real estate agent researches and analyzes trends in lease payments for commercial real estate in the area in which she/he operates. Commercial real estate agents Baton Rouge who love and like what they do and are good at it will always find best deals, and will always reap the fruit of their labor with large amounts of money. Article Source: http://www.apsense.com/article/who-is-a-commercial-real- estate-agent.html