Opportunites In Commercial Properties

It has been said that America is the land of opportunity. In residential properties that is so true. Low values means cash flow the investor that can buy the houses. Also, for the hard working American's that can afford to buy a house at a price where they can have the monthly payment they can manage. Not living on the edge, concerned about whether they make that next payment is one of them loses their job.

O.K., enough the house buyers, what about Commercial Real Estate? What is the wide, wide world of commercial is going on? Who are making the deals? Where are they making the deals? Why are they making these deals?

There is opportunity at every turn, you just have to look. Some are finding them the traditional way, through a commercial Real Estate Broker. Some are finding them through special asset managers in banks, or the short sale managers. Some are finding defaulted notes, or notes about to go into default. Some area's are coming out of the ground on new projects. Some buyers are finding projects that have run out of funds and need a white knight. Some banks are letting the notes float, hoping that the mortgagee will catch up the back payments and come current.

In some parts of the country, building cranes can be seen all over the place, other cities, not so many. Raw land and residential developments are definitely on the back burner except for the rare land banker, that is dug in for the recovery.

Some investors are motivated by the headlines of doom and gloom and do not take action. While the real investor is guided by the numbers and a few other factors. Do the numbers work? Will I make money it I make this purchase? Can I get this financed or backed buy securities and equity partners.

So at the end of the day, the commercial real estate market is an opportunity either way. You can get in and find a deal, money opportunity. Or you can wait on the sidelines and have a missed opportunity. As always, the choice is yours.

What are you going to do? Pass or Play.

If you do not have the money to play, you can sure learn a lot about commercial property by checking out http://www.nacreps.org and learn to scout for commercial property.

Take Care,
Ted