In the past 24 months and after studying over 2,000 commercial real estate deals, we at Digsy, have acquired and analyzed hundreds of thousands of data sets that reveal quite a lot about how CRE deal close rate. The gems in the data that we’ve found is that taking certain actions during the deal process can help double or quadruple the probability of closing a deal.
We’ve also found that a deal’s closing probability decreases exponentially if a client spends more than 21 days in the same status without moving to the next. This is especially true if the deal has not moved from the very first stage of reviewing a shortlist of properties that a commercial real estate agent has sent them.
Our statistics show some alarming differences in the closing likelihood as the deal moves through various stages. Continue reading