Everyone knows that real estate has been a horrible money and time suck the last couple years, and I stopped writing on this blog a while ago. The reason: I was busy.
Now I know that is counter-intuitive, but somehow in the last few years when everything was going crazy and the market was crashing around me, I partnered with a wonderful agent, Nancy Griego and did something smart (I wish I could claim purposeful intelligence, but it was more instinctive survival), we started managing property.
Property management of commercial property, residential rental property and housing associations.
It has been a bizarre ride and an unexpected pleasure. Turns out, I'm actually good at this. It's kind of like being a mother. I get to nurture people and property. We have lovely landlords and fabulous tenants. We have been EXTREMELY fortunate.
So in my opinion, the market has not CRASHED, it has morphed. We are now in a new real estate time. Buy stuff people. It's a great time to invest. Your rate of return on real estate rentals will outpace your stocks and you will have retirement income.
Nuff SAID.
Tuesday, October 25, 2011
Wednesday, March 2, 2011
Tuesday, February 8, 2011
Finally some reasonable news
The market is starting to show signs of life. Is it dramatic. No. But home prices are leveling off and people are starting to buy. And the good news...they're all getting homes for far better prices than just a few years ago.
The rental market is booming and has been for a couple years... this will continue. When you can't buy a home -- you rent one. So the news is good for investors too.
Now the big question, commercial real estate. Everyone thought this year was going to be a bad on for the commercial market, but it seems the news of its demise was reported too late, it had already died and is now beginning a slow climb back out.
So get ready people, the ride will continue to be bumpy, but at least there will be a ride again.
The rental market is booming and has been for a couple years... this will continue. When you can't buy a home -- you rent one. So the news is good for investors too.
Now the big question, commercial real estate. Everyone thought this year was going to be a bad on for the commercial market, but it seems the news of its demise was reported too late, it had already died and is now beginning a slow climb back out.
So get ready people, the ride will continue to be bumpy, but at least there will be a ride again.
Tuesday, June 22, 2010
Shame on them
OK, so that how's the market question gets more difficult to answer every day. Yesterday I learned that another large office/retail building was foreclosed on. Hoping to find out more on this later, but for now, just disturbed. That's two large buildings right here in town.
Many of the companies we all thought had it all going on, are falling under these times. Mainly, they were over-leveraged and had over-estimated the tenant strength.
My theory is that we are feeling a combination of the vacating of office buildings by the State a few years back plus the economic downturn/recession. The state laid waste to many older buildings that are still standing empty. They built or had built all these new shiny buildings with little thought to what damage they would cause to local building owners and the real estate market in general.
This is a harsh judgment, but shame on them. Same thing for the city of Olympia building a new building instead of renovating an older one. I sometimes feel like our local government presence act as if they have no responsibility as citizens of our local area.
And then the icing on the cake is when they go and hire out-of-town contractors to do all the work. Not only do they trash our local buildings and abandon them, but they send the money out of the area to enrich the coffers of other cities, counties and companies.
Many of the companies we all thought had it all going on, are falling under these times. Mainly, they were over-leveraged and had over-estimated the tenant strength.
My theory is that we are feeling a combination of the vacating of office buildings by the State a few years back plus the economic downturn/recession. The state laid waste to many older buildings that are still standing empty. They built or had built all these new shiny buildings with little thought to what damage they would cause to local building owners and the real estate market in general.
This is a harsh judgment, but shame on them. Same thing for the city of Olympia building a new building instead of renovating an older one. I sometimes feel like our local government presence act as if they have no responsibility as citizens of our local area.
And then the icing on the cake is when they go and hire out-of-town contractors to do all the work. Not only do they trash our local buildings and abandon them, but they send the money out of the area to enrich the coffers of other cities, counties and companies.
Saturday, June 19, 2010
Commercial real estate market remains muted
(This article was published by the Puget Sound Business Examiner on line edition Friday June 18, 2010)
Commercial real estate investors reveal both frustration and disappointment at the lack of quality buying opportunities that many expected would have materialized by now, according to the second quarter 2010 findings of PricewaterhouseCoopers' Korpacz Real Estate Investor Survey.
The report notes that the unknown speed and strength of the economic recovery has many investors anxious, with the uncertainty surrounding the large debt volume coming due during 2011 and 2012 amplifying the angst.
The report finds that despite encouraging economic data reports for retail sales and job growth, the retail sector continues to struggle and present challenges to property owners.
In the office sector, overall vacancy rates show some signs of improvement as the rate at which space is being returned to the national central business district office market has slowed dramatically over the past year.
In the industrial sector, the report notes that market conditions continue to soften, but at a slower pace than in months past.
The report also finds that the apartment sector is continuing to lead the recovery with investment appetite for high-quality assets in first-tier markets showing an uptick in transactions in the national apartment market.
Commercial real estate investors reveal both frustration and disappointment at the lack of quality buying opportunities that many expected would have materialized by now, according to the second quarter 2010 findings of PricewaterhouseCoopers' Korpacz Real Estate Investor Survey.
The report notes that the unknown speed and strength of the economic recovery has many investors anxious, with the uncertainty surrounding the large debt volume coming due during 2011 and 2012 amplifying the angst.
The report finds that despite encouraging economic data reports for retail sales and job growth, the retail sector continues to struggle and present challenges to property owners.
In the office sector, overall vacancy rates show some signs of improvement as the rate at which space is being returned to the national central business district office market has slowed dramatically over the past year.
In the industrial sector, the report notes that market conditions continue to soften, but at a slower pace than in months past.
The report also finds that the apartment sector is continuing to lead the recovery with investment appetite for high-quality assets in first-tier markets showing an uptick in transactions in the national apartment market.
Thursday, June 10, 2010
PASSED!!!!
Last week, I passed my Washington State Broker's Exam. For those of you who think all agents are created equal. We are. But some of us choose to take on more education and responsibility. The state likes us to take tests, and then we get to change our titles. So today I am an Associate Broker. The irony is that the state is changing the licensing law July 1, 2010, so all agents will then be called "Brokers" and all associate brokers will be called "Managing Brokers." So keep your eyes open for a lot of title changes coming!!!
Wednesday, June 9, 2010
The crazy wide gulf between buyers and sellers
I am in the process of trying to personally figure out how to bridge the commercial real estate gulf between buyers and sellers.
Our market (Thurston County) does not suffer from the same issues as non-government towns, so we do not ride a pricing roller coaster, it is pretty steady, but even we've seen a drop in prices in this recent downturn... but not as large a one as buyers want it to be.
Because most of our commercial property holders here are pretty steady, and our market reflects this, we are not seeing desperate sellers.
But buyers are out there thinking it's low-ball season.
When you're a buyer's rep, it is always low-ball season in some ways, but now everyone is jumping in the game, and the balls are not just low, they're subterranean, and sellers just aren't THAT desperate... dare I say yet? I don't know if they ever will be around here.
I think a few will go through the ringer, but all?...naw....
Anyway, it's a buyer's market, but we have to be realistic and know that some sellers are pricing their properties to sell. If you aren't sure what the price you are asking or looking at is where it should be, get a professional agent to do an analysis for you.
We look at a myriad of elements -- especially in a market that is volatile like this one.
Our market (Thurston County) does not suffer from the same issues as non-government towns, so we do not ride a pricing roller coaster, it is pretty steady, but even we've seen a drop in prices in this recent downturn... but not as large a one as buyers want it to be.
Because most of our commercial property holders here are pretty steady, and our market reflects this, we are not seeing desperate sellers.
But buyers are out there thinking it's low-ball season.
When you're a buyer's rep, it is always low-ball season in some ways, but now everyone is jumping in the game, and the balls are not just low, they're subterranean, and sellers just aren't THAT desperate... dare I say yet? I don't know if they ever will be around here.
I think a few will go through the ringer, but all?...naw....
Anyway, it's a buyer's market, but we have to be realistic and know that some sellers are pricing their properties to sell. If you aren't sure what the price you are asking or looking at is where it should be, get a professional agent to do an analysis for you.
We look at a myriad of elements -- especially in a market that is volatile like this one.
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