It is not all bad states the CoStar Group in its recent report.
Grubb & Ellis’ national director of retail, Michael Dee is quoted as saying the economy will recover quicker than it did from the past recession. He goes on to state, “There are three reasons to expect the slowdown … to be short and shallow. First, the Federal Reserve has been throwing everything plus the kitchen sink at the credit squeeze to get banks lending again, including aggressively cutting interest rates, unprecendented lending to investment banks and stepping in to keep Bear Stearns from collapsing. …Second, the rest of the world continues to grow, boosting U.S. exports thanks to the weak dollar, which will add a percentage point to growth to gross domestic product this year. And, third, corporate debt levels are low … so there is reason to think that layoffs and cuts to capital spending might be less severe than the 2001 recession. A shorter recession, if it comes to pass, would result in fewer layoffs, putting a floor under consumer spending.”
In polling the CoStar Advisor readers to get their advice on how “survive” today’s market conditions, they heard that opportunities to thrive – not just survive – abound.
“The catch is that there is going to be a holding period between now and then. And those that work their properties in that interim are the ones that will come out on top, CoStar Advisor readers said.”
They go on to tell of a story about an investor client who said “this is the best market for creating wealth I have ever seen” stated by Jerry Anderson, executive managing director of Sperry Van Ness Florida. “Sellers have been spoiled with multiple buyers clamoring to buy at any price,” Anderson said. “Buyers have been spoiled with easy money covering up buying mistakes and lack of market dynamics. And brokers have really been spoiled – list it, throw it out there, get out of the way of the deal and show up and collect your commission.”
“Now ‘solution selling’ is in play – solving problems for owners and finding opportunities by truly understanding the dynamics of the local economy for buyers,” Anderson said. “Wealth for your clients and you is created in a down market not an up market. This is the best opportunity we have seen to create wealth in quite some time.”
Emerald Commercial Realty, LLC has the capability of providing you with services for your clients to solve problems and find opportunities through our network of affiliated companies.
Emerald Commercial Realty, LLC is growing faster than expected. With that in mind, we are always looking for quality people to become partners. If you know of any real estate professionals including yourself that would have an interest in becoming a partner in this growing organization, please feel free to contact Emerald Commercial Realty LLC at 863-686-1801.
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