Research properties and their owners, compile lists, and more.
A multiple-listing service comparable tool.
List your properties with Propelio Realty for incredible savings.
If you have an underwater property, our experts can help.
A channel that gives daily updated archive of our live video.
Get to know Propelio better – explore our story and mission.
Shows MLS coverage and broker transactions in your state.
Share Propelio with friends and family to earn exciting rewards
Hey, everyone! I’m Ryan with Propelio. I’m thrilled to introduce a new show on Propelio TV, featuring Pam Goodwin and Shelby Beckman. Pam is a seasoned expert in commercial real estate, while Shelby is a newbie eager to learn all the ins and outs. This show will be your gateway to understanding commercial real estate through their mentorship sessions. Let’s dive into what you can expect and how you can start your journey in commercial real estate.
One of the first steps in commercial real estate is networking. Write down every single person you know. This list could include:
These contacts can potentially lead you to your first deal or even become investors in your projects.
Technology can be your best friend in this industry. Use apps like LoopNet and LandGlide to identify potential properties. Take screenshots and gather information about these properties.
Spend some time driving around your neighborhoods. Look for:
Keep an eye out for properties that catch your interest and could be great investments.
Once you find a property of interest, approach the owners with your “real estate investor/developer” business card. Hand them your card and express your interest in buying or redeveloping their property.
Building relationships with property owners can take time. Be persistent and consistent. Some deals might take years to finalize, but patience pays off.
When an owner is ready to sell, get the property under contract. Negotiate a minimal earnest money deposit, typically around $500 to $5,000. Ensure the deposit is refundable in case the deal falls through.
Once under contract, you have control of the property to conduct your due diligence. This period allows you to inspect the property, evaluate its potential, and finalize your investment strategy.
Create a list of potential investors, including equity partners and lenders. Use your initial list of contacts and expand it through networking.
Prepare a solid investment presentation with pro forma financials. This document should include:
Pitch your deal to potential investors. Highlight the benefits and expected returns to attract the right partners.
Successful developers often specialize in a particular niche. Consider:
Think about what excites you and fits your vision. For instance, Shelby is interested in mixed-use developments, combining retail, residential, and entertainment.
Create a vision board for your ideal development project. Include images, sketches, and notes about what you want to achieve. This visual guide will help you stay focused and motivated.
Set achievable goals for finding your first property, raising funds, and completing development. Create a timeline to keep you on track.
Establish long-term plans for your real estate business. Where do you see yourself in five years? Ten years? These plans will guide your decisions and growth.
If you have a background in residential real estate, use that knowledge to your advantage. The fundamentals of real estate apply across the board.
Consider starting with commercial brokerage deals to gain experience and earn commissions. This step will help you understand the market and build a network.
Always be on the lookout for opportunities to buy your own commercial property. Owning property provides cash flow and long-term wealth.
Typically, sale commissions are 6%, split between the buyer’s and seller’s agents (3% each).
Lease commissions vary. For example, tenant representatives might earn 4%, while landlord representatives get 2%.
Remember, commissions are negotiable, especially on larger deals. Don’t hesitate to discuss terms and find what works best for you.
Update your LinkedIn profile and social media to reflect your new status as an investor/developer. Highlight your skills and focus areas.
Get new business cards that clearly state you are a real estate investor/developer. This small step adds credibility when you approach potential deals.
Start a “Million Dollar Real Estate Journal” to document your journey. Include:
This journal will serve as a valuable resource as you grow your business.
The path to success in commercial real estate starts with taking the first step, whether it’s writing down your contacts or driving around your neighborhood. With guidance from experts like Pam and the drive Shelby demonstrates, you’ll soon be on your way to making impactful deals. Stay consistent, be patient, and keep learning. Your commercial real estate empire is just around the corner!
For more tips and insights, connect with experts and dive deep into the world of commercial real estate. Your dream project awaits!
Get started with Propelio and unlock all the tools you need to succeed in real estate. Sign up now for a 14-day FREE trial: Start Free Trial
Many have asked how I climbed from wholesaling five years ago to flipping...
Welcome to the Real Estate Business Mastery Show! In today’s episode, we recap...
Welcome to another insightful episode of the Real Estate Power Hour. Today, we...
Good morning, everyone! I’m Robert Kelley, and today I’ve got Kristen Gary Saad...
Hey everyone, I’m Ryan from Propelio. Today, we talked with Lolita Shira, also...
Do you remember the first time you tried to solve a complex problem?...
Understanding the real estate market is crucial for investors looking to thrive and...
Hey folks, Blade Johnson here from Finishing Touches in Fort Worth, Texas. Today,...
In today’s fast-paced world, staying on top of your health can be a...
Hey everyone, good morning! I’m Ryan with Propelio, and today in the studio,...
Do you love learning from your favorite hosts? Subscribe and we will notify you when we release new shows.
You will never be left on your own. Our live chat is watched like Fort Knox, and that’s why our median response time is under 3 minutes. Have a question? Send us a message in the chat bubble in the bottom right corner.
Services
Resources