Do Term Sheets or Commitment Letters Show Financial Credibility to Brokers/Agents?

[Nadia Jones]

For newer CRE developers working to establish credibility for larger scale deals, I'm curious about the role of financial documentation in building trust with brokers and sellers. Specifically:

1. 1. How do brokers evaluate the credibility of a buyer who provides a loan term sheet versus a loan commitment letter from a lender?
2. 2. Do either of these documents meaningfully address concerns about a buyer's ability to close a deal?
3. 3. Are there particular elements (e.g., lender reputation, conditions in the letter, proof of equity) that you look for to validate the buyer’s financial readiness?

What would push the needle for you as a broker to confidently move forward with a buyer in the process of acquiring a building? Are there any other critical factors that signal a buyer is serious and capable of closing?