In December, I wrote about how many commercial brokerages are failing their clients by relying on outdated marketing strategies that limit exposure and, in doing so, suppress property values. The response from both brokers and investors was overwhelming. It’s a problem that’s more widespread than most sellers realize. The belief that a broker can determine who the “right buyer” is before fully marketing a property is not only flawed—it’s costly.
This way of thinking has led to an industry culture where brokers often keep listings within their internal networks, quietly shop properties among a handful of investors, or take a passive approach by simply putting a deal online and waiting for inquiries. It’s a process designed more for broker convenience and profit than for the seller’s benefit. One national brokerage company refers to it as “commission leakage”.