It’s always a good time to buy commercial real estate…really!
The law of supply and demand is changing, more inventory, lower prices right, not exactly! The commercial real estate market has plenty of inventories, but just not yet priced right for bargain hunters. The combination of more commercial real estate inventory on the market coupled with improved financing terms and fewer buyers will create the perfect buying storm!
Why? Although there are plenty of commercial inventories on the market, there are fewer investors buying and seller’s motivations are short of buyer’s expectations.
FACT: Fast forward to present from 18 months ago, property valuations have decreased due to number of factors; increase in property taxes, loss of tenants/income, increased operating expenses, short term notes coming due or refinancing not available; all leading to holding power dwindling for some property owners and yes the buying cycle is swinging in favor of buyers!
How many times have we heard “seller is highly motivated” to only find pricing is not really in line with an investors expectations?
THEORY: 2010 is bringing motivated buyers and lenders ready to pursue real motivated sellers! A number of factors are in play such as FDIC releasing more properties to the market place in 2010, increased positive lending environment, combined with real motivated sellers, the perfect buying storm is on the horizon!
The best way to find deals in today’s turbulent market place will be to team up with a real estate advisor who specializes as a “Buyer Representative”. A buyer representative has strong relationships and networks with listing brokers, along with knowledge of “off market offerings” and expertise in the market to find the right property to meet your investment criteria.
A buyer representative can help identify the right property meeting your investment criteria saving you time and just as important assure that you will be in line to hear about the best buys first!
For more information on the benefits of buyer representation and advice on emerging 2010 market trends:
Contact Sperry Van Ness/The Pastrano Group, San Antonio, Texas
Gerard R.C. Pastrano, CCIM at gpastrano@svn.com or call me 210.354.0400 Ext. 1
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