Get 9.6% More Money

Get 9.6% More Money

One of the hallmarks of the residential real estate market is that increased exposure can help to boost a home’s value. In the commercial world, though, the brokerage community is more divided. Some commercial real estate brokers encourage wide cooperation to bring as many buyers as possible to both investment and user properties. Others believe that cooperation complicates the marketing process without improving the end result. While common sense might specify a clear answer to this debate, the relatively small number of commercial transactions that are actually sold on a cooperative basis indicate that either clients, commercial real estate brokers, or both think otherwise either due to a misunderstanding of how to effectively sell properties or due to other priorities, such as some brokers’ desires to control the entire commission.

In an attempt to clearly define whether cooperation benefited clients, SVN worked
with an international research team to answer this question. After poring over almost 15,000 records, an answer emerged. Transactions where brokers cooperate sell for an average of up to 9.6 percent more per square foot compared to those where brokers do not.

SVN-Cooperation Report