How does a commercial real estate transaction work?

A commercial real estate transaction works by transferring ownership of a commercial property from the seller to the buyer. The process is similar to any other real estate transaction and includes the following steps: 1. Identify the Property – The buyer identifies the property they are interested in purchasing and requests information to further evaluate the property. 2. Negotiate Terms – Both parties negotiate the terms of the purchase and enter into a purchase agreement. 3. Due Diligence – Next, the buyer conducts due diligence to satisfy themselves of the property’s condition, history and title. 4. Financing – The buyer applies for and obtains financing for the purchase. 5. Closing – The buyer pays the seller the purchase price at the closing. The seller then transfers title to the buyer and the buyer takes possession of the property. In Virginia, a licensed attorney must be present for the closing to ensure that the deed and title are transferred properly and all parties are protected. An attorney should be consulted as early in the process as possible to ensure a smooth transfer of the real estate from the seller to the buyer.

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How does a commercial real estate transaction work?

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