All Blog Posts Tagged 'commercial' (8)

Sometimes a new client will ask what issues tend to come up again and again during the commercial mortgage financing process and what mistakes they should try to avoid. Here are the top seven mistakes that come to mind. As you’ll see, most of these fall under the general topic of “timing is everything”:



1) Searching too hard for the “bottom” when choosing the moment to lock an interest rate-focus on the monthly/annual payment being within your target range. DO NOT focus on…

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The Mortgage Bankers Association predicts that $230 billion of commercial mortgages will be originated next year, up 17 percent from the $196.5 billion of loans that were originated lastyear.

In the trade group's first such projection, it said origination volumes would climb annually after this year, hitting $290 billion in 2015.

This year's projected increase in origination activity will boost the universe of mortgages outstanding by 2 percent to $2.4 trillion this year and to…

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The current economic climate has resulted in tighter lending by traditional banks and less money for real estate investing. Private Funding is taking over where traditional banks have left off private lenders have a much greater flexibility, can offer more creative methods of financing and are definitely open to negotiation. They usually have lesser requirements compared to traditional sources. These investors look for higher than normal rates of return which would mean you…

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Commercial sales and leasing statistics reported by the Edmonton Real Estate Board show a slow steady decline in the commercial real estate marketplace since the highs of 2006 and 2007.

Land Sales

Land sales peaked in 2006, and have declined every year to a low in 2009 of around 18% of the unit volume seen in 2006. Dollar volume in 2009 was 27% off the highs and this year it is at 32% of the highs. This is quite a drop, but to be expected as land was the subject of much speculation… Continue

Okay, there is no way to predict the end of a boom, well there is no accurate way. By accurate I mean accurate enough to tell you within a month when to get your money out. Booms are irrational creatures and trying to predict their behaviour is a fool's game.

But there are two pieces of advice that seem to stand the test of time that tell you the end is near. How near is hard to say but it is likely near.

The first one is one most of us have heard before, "When your cab driver…

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GAAP, CCA, Capital Expenses vs Operating expenses...say what? What language is that and what does it have to do with commercial real estate investing? Well, some of you probably recognize this as accounting lingo; and it has everything to do with commercial real estate investing....well, at least with successful commercial real estate investing.

In my last discussion on successful commercial real estate investing, I did a general overview of points of importance to commercial real…

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Okay, so in my last blog I spoke of the value of common sense in real estate investing. And as promised here is my humble opinion on how to employ that common sense in the world of commercial real estate investing.

Before even looking at a single building, sit down with a professional REALTOR® to review your portfolio and your goals. A true professional will take the time to understand where you are and where you want to be. And you might just find out that you aren't where you should…

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Well, after my last couple of blogs, I can not neglect to mention leverage and my thoughts on how to use it today in the the Edmonton real estate market (I would argue my thoughts are applicable just about anywhere in the world at this time).

Most of you no doubt know that leverage refers to how much debt one uses to purchase something. A general rule of thumb is that the more leverage one uses, the greater one's return on investment. Sounds great, doesn't it? Well, there is another…

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