How Bad Are Commercial Values?

Or Why Now Might Be the Best Buying Opportunity in Decades

Ted C. Jones, PhD

Senior V.P./Chief Economist

Stewart Title Guaranty

How much down have commercial property values trended?  What are values today if you purchased in the past decade—or in recent years?  Is commercial real estate duplicating the housing bust all over again?

The lack of liquidity in commercial lending perhaps is best mirrored in the movie “Honey—I Shrunk the Kids.” Not only did they shrink, but the kids had to fight just to survive, until ultimately they returned to normal. Ditto commercial real estate, as lending volumes for purchase and refinance transactions have shrunk (or literally disappeared).

Real Capital Analytics reported that total U.S. commercial sales volumes plummeted from $557.8 billion in 2007, to $181.6 billion in 2008, to a miniscule $54.4 billion in 2009.

Stop Wasting Time on Cold Calls

By Jeffrey Gitomer

President, Buy Gitomer

Cold calling is over. The only people who don’t realize it are the people still making them. Or worse--their bosses.

I am in a LinkedIn group called Sales Gravy. I’m following a thread about the ROI of cold calling. It’s interesting to see how salespeople view cold calling.

As you read my posts, you will gain insight to my philosophy and get a few sales tips on how to AVOID cold calling FOREVER.

Investors Fleeing Dubai are Looking
For a Safe Haven in Manhattan

By Patricia W. Cliff
Senior V.P. and International Specialist
Corcoran Group

In the past two months more than two dozen of my new clients in New York City--about 10 to 15 percent of my buyers--have been refugees retreating from failing investments in Dubai. These investors, stung by the recent collapse of the real estate bubble they had enjoyed overseas, are searching to park their money in a secure market that they can trust, often in new developments.

To these buyers, New York City--particularly Manhattan--is an attractive alternative to Dubai. Investors can depend on the quality construction of its buildings and the consistent desirability of its location to lead to good returns.

Readers Offer 31 Great Sales Tips

By Jeffrey Gitomer

Back in October, I created a giveaway on my Facebook fan page. I offered a prize of several autographed books for the person who submitted the best sales tip.

I received more than 260 responses, and thought it might be a good idea to share with you how your fellow brothers and sisters in the sales profession are thinking.

Here are a few of the tips - I hope they inspire you to think and take some new (better) actions:

How to Market to the Post-Crisis Buyer

By Claudia Gonella
Co-Founder, Reveal Real Estate

As we enter 2010, a sense of stability and predictability--a new normal--is returning to the Central America real estate sector.

One of the most telling aspects of this new normal is the retreat of the speculator buying for quick re-sale profit. The quick flip speculator has been replaced by a new type of international real estate investor--a “post crisis” investor--with a different mindset and goals.

Steps You Can Take Today to
Prepare for the Market Turnaround

By David Goldsmith
President, MetaMatrix Consulting Group LLC

Although capital markets are virtually shut down and business slow, now is the time for you and your real estate colleagues to prepare for the day when money starts to flow again. Yes, today’s conditions may seem unlike previous cycles, making it difficult to form a reasonable course. Yet remaining inert will put you in an unfavorable position when business starts to pick up.

So what do you do when the future is so uncertain? I suggest that you begin to view real estate as a long-term road race where you don’t know where the next turn will lead—or the location of the finish line. But you still need to remain at the front of the pack if you want to finish strong. With this in mind, you can take measures now to ensure that you’re better positioned than your competitors.

Build Sales by Harnessing the
Emotional Power of the Holiday

By Jeffrey Gitomer

It’s a celebration of the new and of being grateful for, thankful for, or washing out the old.  It’s a day of celebration, a day of football, a day of hangover recovery, a day of New Year’s resolutions, and a day of your strongest intentions to do more, do less, and do better.

And then there is January 2nd. It’s not as significant as January 1st or February 1st. Or is it?

There are several major (predictable) days of emotion, celebration, and reflection in each year. And there are some special days that pop up like the birth of a child, a monumental sale, or a surprise visit from an old friend or relative (that you were happy to see).

Seven Steps to Grow Your Business by Rethinking the Idea of 'International'

By David Goldsmith
President, MetaMatrix Consulting Group LLC

Broaden your perspective of your market and you’ll broaden your scope of business opportunities. In an economy that has seen its share of challenges, you need to identify and ‘create’ new opportunities to weather the storm and to gain competitive advantage when that storm has given way to sunnier skies. One of the best ways to broaden your perspective is to rethink every aspect of your business by viewing it through an international lens.

Improve Your Holiday Sales--
Become Your Own Santa Claus

By Jeffrey Gitomer

In 1972, when I was studying sales and positive attitude, I watched a movie called “Challenge to America” almost every day.

In it was a story told by the great Glenn W. Turner where he wrote a letter to Santa Claus every year that matched his wealthy cousins. Glenn was a poor farmer’s son who never got anything but apples and oranges, even though he asked Santa for exactly the same thing his wealthy cousins got. And every year, Glenn would go out behind the barn and cry. One year, when his cousin wanted a brand new bicycle and Glenn wanted a brand new bicycle, and as usual, the cousin got it and Glenn didn’t, he went out behind the barn and said, “Okay Santa, if that’s the way you want to play.”

Negotiating the Landmines
in Panama Contracts

By Bill Schroff
Panama Referral

As a buyer in Panama you will be confronted with a vast array of properties either planned or in construction, but they all have one thing in common--the contract process, which contains an assortment of challenges and pitfalls.

Once a buyer is ready to place a deposit, the seller will prepare a preliminary contract, usually called a Contrato de Reservacion Promesa de Compra-Venta, which basically means the buyer is agreeing to buy and the seller is agreeing to sell. (Note: for purposes of this article the real estate contracts mentioned are typically for the purchase of new property during or before construction, usually condominiums.)