Polishing up your property and records can significantly increase the saleability of your apartment property. So too can moving a few of your tenant’s leases up to market-rate. In doing so, we can make the case to the buyer’s appraiser of your property’s pro-forma potential; the value it would have if ALL leases were moved to market-rate. Generally speaking, and if the tips shared here are applied, apartment owners can potentially a net boost in sale price as buyers are willing to pay a premium to get into the metro Phoenix apartment market.
What Is A Broker Price Opinion? Do I need one if I’m not selling?
A broker price opinion, or BPO, is a report that can be prepared by a broker, appraiser, or agent. A BPO, also referred to as a broker opinion of value (BOV), can help an owner get an idea of the current market value of their multifamily or commercial property.
It’s not uncommon for owners to obtain periodic, time-specific, BPOs. Knowing your property’s current market value influences your equity decisions such as taxes, refinancing, selling outright, or choosing a 1031-exchange.
Full-blown appraisals, typically required by lenders during a sale, can be biased towards the numbers appearing on a purchase contract. Who better qualified than multifamily brokers closing multiple sales and millions of dollars in transactions to provide this information?
We cut no corners to find the best buyer at the best price for your metro Phoenix property fast, and charge a reasonable commission.
Here’s how our Broker Price Opinion (BPO) works…
- First we gather property specific data from you like basic financial info (P&L), and a current rent roll. Ideally we would set up a time to walk the property and see any vacant unit, WITHOUT DISTURBING TENANTS. Otherwise knowing the general condition and any updates you have made should be sufficient.
- We take this data and plug it into our market experience, daily transactional involvement, recent sales and apply an income and expense approach with the current market’s capitalization rate to arrive at an as-is value.
- Then we analyze potential income scenarios using our insights into operational adjustments, minor repairs, possible rent adjustments and other income modifications to assist owners in optimizing their property value – whether they are looking to sell or not.
- We’ll recommend a target “sale price” and describe our plan to sell it at that price quickly. We’re 100% transparent, so ask us any questions you have!
- If you choose to sell, we use a Flexible Listing Agreement: Pay a fair commission, and Cancel With 30-Days Written Notice For ANY Reason – Anytime!
Once valuation is determined, a summary market perspective is provided to inform owners of the state of the current market cycle, investment trends, economic fluctuations, financing and more. While concise and accurate information is provided in our BPOs, the context and perspective provided enables property owners the ability to execute effective and equitable decisions in a timely manner.
Our winning marketing plan and experience helps reduce the days on market and get you the best price.
Curious about who we are? Great! Learn More About Us Here
Sell Your Phoenix Arizona apartment or multifamily property Faster And For A Higher Price. Let’s talk!
call us today at 602-445-4141!