I am expecting to list a commerical/residential property very soon. How do I (as the sellers agent)qualify the buyer at the beginning? So I am not wasting time showing, so I am not sending all the finacials to every curious joe, etc.

TIA

Qualify the property before qualifing the buyer/owner. You can have a 800 FICO buyer but if the land or building is not worth anything than the bank will not lend on it.

How much is credit score taken into account when you are buying a commercial property?

the property has a cap rate of 8% as is, and amazing potential for more. so qualifying the property is not a problem. The residence is about of fifth of the value, so commercial, sba, and jumbo loans all are applicable.
I want to know how you can tell a buyer is not wasting everyones time toying with the idea of a pipe dream they are not qualified for.
(jeez, i sound like a jerk!)

I'm a preferred lender for a few office condos in San Diego and I must say 90% of inquiries are 'tire kickers' not 'closers' Dont take a purchase contract without some kind letter denoting credit worthiness unless they are putting at least 30% down. If the property supports itself, even someone with bad credit can get 70% financing. More than that will require a stronger borrower.

Commercial lenders are pretty lenient as far as credit score because investors have lower scores due to the number of transactions they do. It really comes down to how much cash they are putting down, if they have any experience with commercial property and a good explanation of any derogs. If you get some joker trying to negotiate 100% financing cause Carlton Sheets said so, I wouldnt waste much time on them.

hey aaron
are you AaronSanDiego on TCI from carlsbad? i was doing a search on condo conversions and i assumed it was you. just curious.

I am hoping to not have to share every nuiance of the property to the tire kickers. ugg. what fun