The Ongoing Effects of the Recession on the Commercial Real Estate Market
A Prolonged Economic Challenge
It seems as though everywhere you turn some newspaper or economist is announcing the end of the recession. While this may be true theoretically, little has changed as far as the literal economy goes. Recently, John O’Bryan (vice-chairman of real estate giant CB Richard Ellis) announced that while things may appear optimistic, the investment real estate game isn’t picking up any speed.
Commercial Real Estate Stagnation
In fact, CB Richard Ellis believes that the “global recessionary impact on the commercial real estate market has yet to run its course.” Commercial real estate investments are simply at a standstill due to various factors, most of which are directly linked to the recent lending crisis.
Lending Crisis and Its Consequences
Simply put, “the credit crisis and ensuing recession have dragged commercial real estate markets into very trying times… (Reuters).” Even if potential investors were interested in new commercial real estate ventures, the likelihood that lenders would consider approving new investment loans is slim to none.
Tight Grip on Funds
Instead, lenders are holding onto their money as tightly as they have been since the recession began. Is the recession truly over? Not from a commercial real estate investment point of view. Some may even argue that the investment recession has just begun. Until lenders are willing (and able) to begin lending investors funds once again, there isn’t much hope for the commercial real estate investment market.
Or is there? As some investors have recently begun to find out, there may be a way to gain investment dollars after all. Private lenders are now stepping in to pick up where traditional lenders have left off. With little more than an owned vehicle, lenders are able to secure the funds that they need to invest in commercial real estate.
Car Title Loans as a Solution
Through the use of Car Title Loans, investors can quickly and efficiently gain needed monies. These loans only require that an investor owns a vehicle in good working condition. The better the vehicle in question is, the more money that a lender can secure.
Exploring Alternative Funding
While there’s no doubt that the traditional lending route has hit all kinds of roadblocks, private lenders are ready and willing to create alternate ways for lenders to gain funding. No matter what newscasters and economists are saying, the economy is far from fixed.
Seizing Investment Opportunities
Investing in commercial real estate is a great way to ensure that your money grows, just don’t wait around for traditional lenders to start approving loan applications once again. Instead, look into a private loan and lockdown your commercial investment.