Weekly Housing Trends View — Data Week February 13, 2021

Our research team releases regular monthly housing trends reports. These reports break down inventory metrics like the number of active listings and the pace of the market. In light of the developing COVID-19 situation affecting the industry, we want to give readers more timely updates on weekly housing trends. 

Generally, you can look forward to a Weekly Housing Trends View near the end of each week along with weekly coverage of our Housing Market Recovery Index and a weekly video update from our economists. Here’s what the housing market looked like over the last week.

As we move closer to the heart of home buying season, we’re starting to see some relatively promising signs in trends among sellers. While there are still fewer newly listed homes compared to a year ago, the share of newly listed homes is rising meaning that buyers are seeing more fresh listings relative to longer-for-sale homes. Unfortunately, the total number of homes for sale continues to decline meaning fewer overall options for buyers, causing prices to rise, homes to sell quickly, and buyers to show some signs of frustration. While buyer demand growth remains high, it slowed in the last week as some buyers are likely reevaluating their options in light of these tough housing market conditions. 

Weekly Housing Trends Key Findings

Key Findings:

  • Median listing prices grew at 12.9 percent over last year, notching the 27th consecutive week of double-digit price growth, easily double the rate we would see in a more normal housing environment. With home shoppers active and sellers still lacking, this upward pressure on prices is likely to remain. Still low mortgage rates in 2021 have helped offset the pain of higher prices, but mortgage rates are expected to rise later in the year, thus affordability is likely to become a top-of-mind consideration for buyers.  Tools like the mortgage calculator can help buyers understand what price and mortgage rate changes mean for their monthly payment.
  • New listings–a measure of sellers putting homes up for sale–continue to fall behind the year ago pace, registering 23 percent lower this week. After the upswing in newly listed homes at the end of 2020, new listings have tread a different path in 2021, with large and consistent declines. Despite early weakness, we expect to see new listings grow in March and April as they traditionally do heading into spring, and last year’s extraordinarily low new listings comparison point will mean year over year gains. One other potential bright spot for would-be homebuyers, new construction, which has risen at a year over year pace of 20% or more for the last few months, will provide additional for-sale inventory relief.
  • Total active inventory continues to decline, dropping 48 percent. With buyers active in the market and seller participation lagging, homes are selling quickly and the total number actively available for sale at any point in time continues to drop lower. In January as a whole, the number of for sale homes dropped below 600,000.
  • Time on market was 11 days faster than last year meaning that quick decisions are still the norm. On the plus side for today’s buyers, this means that the share of fresh listings on the market is slightly greater than it was at this time last year. On the downside, today’s for-sale homes won’t be for sale long, so buyers will need to act fast when they find a home that fits.

Data Summary

First 2 Weeks March 2020Week ending Jan 30Week ending Feb 6Week ending Feb 13
Median Listing Prices+4.5% YOY+13.5% YOY+12.9% YOY+12.9% YOY
New Listings +5% YOY-21% YOY-29% YOY-23% YOY
Total Listings -16% YOY-45% YOY-47% YOY-48% YOY
Time on Market4 days faster YOY10 days faster YOY10 days faster YOY11 days faster YOY

You can download weekly housing market data from our data page.



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Fourth Quarter 2020 Las Vegas Retail Market Report

Las Vegas Retail Market Report

Fourth Quarter 2020 

Inventory
Total retail inventory in the Las Vegas market area amounted to 116,879,711 square feet, up 691,407 square feet from one year ago. There is currently 892,224 square feet under construction.

Sale Activity

In the fourth quarter, 99 retail transactions closed with a total volume of $281,177,118. The 99 buildings totaled 1,009,637 square feet and the average price per square foot equated to $306.55 per square foot. That brings the total for the 2019 calendar year to 302 transactions totaling $656,465,854. The total square footage sold was 2,851,038 square feet for an average price per square foot of $262.10. The average Cap Rate was 5.9%

Tallying all retail building sales.

Mark of a Market.

One of the largest transactions (excluding the resort corridor and specialty properties) that has occurred within the Las Vegas market is the sale of Crossroads Commons at 8825-8975 W. Charleston Blvd, as part of a 2 property portfolio sale. This 157,152 square foot retail building sold for $46,601,546 or $296.54 per square foot. The property sold on 12/23/2020. The Buyer was SF Crossroads, LLC. The Seller was Panther Crossroads Commons LLC.

How to Search Commercial Real Estate on QuantumListing

Have you ever started a search on a listing site only to find out that the results are only visible to registered or paying members? Some commercial real estate listing websites require you to register or pay for membership in order to receive an agent’s email address or even simply to get in touch with them. At QuantumListing, we understand how it feels to search for commercial real estate space and, quite literally, reach roadblocks. We understand these pain points; that’s why QuantumListing’s website visitors can search our site completely for free with no paywall or registration required. 

User experience is a high priority at QuantumListing. Our goal is to make it easy for you to get in touch with commercial real estate professionals within the QuantumListing network. To get started, simply go to the QuantumListing home page and fill in the first box that says “Enter Location”  below “Search all our Users’ Listings for Free.”

Start your search here

Tips for Search Success

After you enter the location and click the red search button, there are a variety of ways to proceed. We wanted to share some tips and best practices with you as a guide to your commercial real estate searching success: 

Tip 1: Once you’ve entered your search location and see the initial results, we recommend that you narrow or expand the search by clicking the green SEARCH FILTER button. Expand the location’s radius in order to view a larger selection of listings. This is especially helpful when you search a small town and want to explore the surrounding area. 

For example, when you search Ridgefield, Connecticut (which happens to be the location of QuantumListing’s new headquarters), there are 13 listings. When you expand the radius to 20 miles, there are now almost ten times the amount of listings (126) all within a reasonable driving distance. 

Tip 2: While you can certainly start your search with a particular city in mind, you can also cast a wider net. For example, QuantumListing visitors and members often search one of our 50 U.S. states by simply typing the state name into the search bar and clicking on the first search criteria that populates.

Enter your search location

Once you do this, you can narrow down your search by selecting an asset type like Office or Retail. You can also select whether you are looking to rent space or buy. This is also a good place to specify any requirements such as price or square feet.  

When searching at the state level is too wide of a range, you can type a county name and proceed with the same steps as described above! To use our example of Ridgefield again, typing in Fairfield County will bring all the listings within that area. 

Tip 3. Another helpful resource is our state search page, which you can check out by clicking here. From here, you can see all 50 states, which is a great launching point for a search. If you are wondering why many listings and brands are highlighted in green boxes at the top of the search pages, you can find out more by reading about our On Demand Marketing Center. 

Tip 4: A fourth resource for you to start your QuantumListing search is to look at the second box on the homepage underneath where it says “Create a search request and/or get help from a professional.” From here, all you need to do is select the Asset and Trade Type (for example, Office for Lease) from the drop down menus and then you can fill out the form to stay up to date on your search requests!

Refine your search with asset and trade type

Once You Click on a Listing, What Do You Do Next?

Once you click on a listing card and go to its detail page, there are several ways to get in touch with the agent. When you first arrive on the listing detail page, a pop-up will appear after 10-15 seconds asking if you would like additional information from the broker. Simply type in your contact information so that the QuantumListing member can contact you directly. They will receive notice that you are interested in their property and our team will also be in touch with them to follow up.

You can also click the blue “Contact the Agent,” button which produces the same pop-up window as described above. From this lead form, you can also subscribe to our email list in order to stay up to date on our weekly email blasts, which include our listings. 

Call or Email the Listing Agent with a Click

Please note that you can call or email the agent directly. In fact, when you click on their email address, a pre-populated email template and message will appear from your computer or phone’s primary email platform.

Lastly, we are firm believers in the power of the network effect which is why we have enabled QuantumListing to sync with social media. When you click the red share button below a listing, you can easily share the listing to Facebook, Twitter, and LinkedIn. Did you know LinkedIn is the Largest Commercial Real Estate Network In The United States?

All of the tips described above show how easy it is for you to get in touch with our network of commercial real estate professionals without even registering for a QuantumListing account.

We look forward to sharing more tools with you in the next post, where we will focus on how to take your commercial real estate search to the next level. Please keep in mind that when you are already logged in to QuantumListing, you can search for listings anytime from the search bar at the top of every page. 

Sneak Preview

You can view all of our members’ active listings without registering for an account. However, the next set of tips will focus on the advantages and features our Basic Members (free registration) and Premium Members get in order to take their commercial real estate search to the next level. To see a preview of this information, hover over the tool list on the right hand side of the listing page to see some of the different mechanisms to help you along the way to finding your next space. 

https://quantumlisting.com/blog/how-to-search-commercial-real-estate-on-quantumlisting

Weekly Housing Trends View — Data Week January 23, 2021

Our research team releases regular monthly housing trends reports. These reports break down inventory metrics like the number of active listings and the pace of the market. In light of the developing COVID-19 situation affecting the industry, we want to give readers more timely weekly updates. 

Generally, you can look forward to a Weekly Housing Trends View near the end of each week along with weekly coverage of our Housing Market Recovery Index and a weekly video update from our economists. Here’s what the housing market looked like over the last few weeks.

Home sales and prices continue to surge ahead in the new year. Buyers entering the housing market in 2021 will need to be prepared and decisive in order to be successful in an environment where homes are selling fast and prices are rising.  Fortunately, still low mortgage rates continue to help offset the sting of higher home prices, for now, making finding the right property amid scarce options and making an offer quickly, the top challenges.

Weekly Housing Trends Key Findings

Key Findings:

  • Median listing prices grew at 14.4 percent over last year, notching 24 consecutive weeks of double-digit price growth. With demand still high and supply still limited, this trajectory seems unlikely to change in the near term. In 2020, lower mortgage rates have blunted the otherwise dampening effect that higher prices could have on buyer demand. But as mortgage rates transition from falling to gradually rising, the math changes. If mortgage rates trend upward, as we expect, affordability is likely to become a bigger challenge in 2021.
  • New listings continue to fall behind the year ago pace–registering 21 percent lower this week. After the upswing in new listings at the end of 2020, momentum continues to be lacking in 2021. While the new listings trend is noisier than active inventory, the persistent declines observed in the new year signal that selling may not have been high on many home owners’ new year’s resolution lists. An uncertain environment doesn’t generally inspire consumers to make big decisions, and on top of the unknowns surrounding COVID-19 and its trajectory, government policies to support the economy and battle the health crisis continue to unfold as the new Congress and administration set to work.  Looking forward, the surge in new cases is abating, and we’ve seen declines in new listings shrink over the last 4 weeks.  We expect new housing supply to continue to improve, if unevenly, as we move through the year, and while new listings are struggling to grow, new construction will provide some relief.
  • Total active inventory continues to decline, dropping 43 percent. A greater decline in overall inventory than in new listings is consistent with rising home sales and fast-selling homes that do not remain for sale for long.  
  • Time on market was 9 days faster than last year meaning that buyers have to make quick decisions to succeed. Although buyers have more information than ever available in their home search journey, they’ll need to marshall that information into actionable insights so that they can act with haste when the home that’s right for them comes up for sale. 

Data Summary

First 2 Weeks March 2020Week ending
Jan 9
Week ending
Jan 16
Week ending
Jan 23
Median Listing Prices+4.5% YOY+15.4% YOY+15.0% YOY+14.4% YOY
New Listings +5% YOY-26% YOY-22% YOY-21% YOY
Total Listings -16% YOY-41% YOY-43% YOY-43% YOY
Time on Market4 days faster YOY10 days faster YOY9 days faster YOY9 days faster YOY

You can download weekly housing market data from our data page.



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Weekly Housing Trends View — Data Week January 16, 2021

Our research team releases regular monthly housing trends reports. These reports break down inventory metrics like the number of active listings and the pace of the market. In light of the developing COVID-19 situation affecting the industry, we want to give readers more timely weekly updates. 

Generally, you can look forward to a Weekly Housing Trends View near the end of each week along with weekly coverage of our Housing Market Recovery Index and a weekly video update from our economists. Here’s what the housing market looked like over the last few weeks.

After an extraordinarily strong finish to 2020, the housing market lost some momentum in early 2021. However, we continue to see home buyers in the market and their activity level relative to sellers means that the market continues to favor sellers with a shrinking number of homes for sale, rising prices, and fast selling homes. As was the case even before the pandemic, supply is what’s needed to ensure that home sales continue to grow.

Weekly Housing Trends Key Findings

Key Findings:

  • Median listing prices grew at 15.0 percent over last year, notching 23 consecutive weeks of double-digit price growth. In 2020, lower mortgage rates have blunted the otherwise dampening effect that higher prices could have on buyer demand. Just last week, however, mortgage rates ticked up a notable 14 basis points, perhaps signaling a new course for the year. If mortgage rates maintain this new course, as we expect, affordability is likely to become a bigger challenge and thus a bigger concern in 2021.
  • New listings continue to fall behind the year ago pace–registering 22 percent lower this week. After the positive momentum we saw in new listings at the end of 2020, new listings have made an abrupt about-face to start 2021. The new listings trend is noisier than active inventory since it’s a smaller set of data, and especially so in the slower winter season, but with three consecutive weeks of decline, it’s clear that the supply of home sellers has started the year on a weaker note. Earlier in the pandemic, new listing trends were weakest in markets with higher prevalence of COVID-19, and the post-holiday surge in COVID-19 is likely one reason for the recent trend.  Looking forward, the surge in new cases is abating, and we’ve seen declines in new listings shrink over the last 3 weeks.  We expect new housing supply to continue to improve, if unevenly, as we move through the year.
  • Total active inventory continues to decline, dropping 43 percent. A greater decline in overall inventory than in new listings suggest that buyers remain more active in the housing market than sellers.  
  • Time on market was 9 days faster than last year. Although the gap is shrinking, homes are still selling faster than they did in January 2020. In other words, buyers have the advantage of lower mortgage rates this year, but they’ll need to make a quick decision when they find a home they like. 

Data Summary

First 2 Weeks March 2020Week ending Jan 2Week ending Jan 9Week ending Jan 16
Median Listing Prices+4.5% YOY+12.4% YOY+15.4% YOY+15.0% YOY
New Listings +5% YOY-35% YOY-26% YOY-22% YOY
Total Listings -16% YOY-41% YOY-41% YOY-43% YOY
Time on Market4 days faster YOY11 days faster YOY10 days faster YOY9 days faster YOY

You can download weekly housing market data from our data page.

Subscribe to our mailing list to receive monthly updates and notifications on the latest data and research.

Challenges for commercial real estate investors in 2021

At the time of writing this article, the United States is amid discord on several levels. Many are optimistic with a challenging year behind us, and experts say the second half of 2021 looks to be favorable for commercial real estate.

Multi-family and warehouse properties performed well while the retail, restaurant, and hotel industries suffered significantly. What should commercial real estate investors expect for 2021? Will multi-family residential slide, more restaurants close, and warehouses continue their growth cycle?

  • Multi-family apartments should continue strong growth depending on the location. Many renters are leaving the cities for the suburbs, so a decline in rents will continue in the major cities. Demand will continue to grow in the tertiary markets. The question yet to be answered concerns the renters behind in their rent. What are landlords whose loans are in default or coming due in 2021 to do?
  • Office buildings will most likely experience a permanent 15 percent reduction in occupancy. Many companies are embracing the remote work setup for some employees. With only 85 percent of the workforce returning to the office, this could change the outlook for office investments and affect the restaurant, hotel, airline, transportation, and retail industries.
  • Many shoppers can see retail changes even before 2020. Still, as many of us embraced online shopping, the “brick and mortar” store has come into question. We should continue to see a shake-up in this industry. Investors holding retail buildings are questioning what to do with an empty building and a loan coming due?
  • The warehouse industry is the success story winning with the growth of the online retail surge. Growth is to continue as e-commerce becomes entrenched in our lives. Industrial property investors need to follow the population growth to find where industrial development will continue to rise.
  • Hotel industry experts say $31 billion in outstanding loans will be coming due this year. In contrast, many hotels have not yet come back to life. Experts agree most hotels, depending on location, will bring in only 40 to 75 percent of their expected occupancy. Many fear we could see many shut their doors.
  • Unfortunately, the restaurant industry was hit the hardest in 2020 and continues to suffer in 2021. It does not seem to be getting any better until the second half of 2021. The estimate of 110,000 restaurants nationwide permanently closed. Most of these being independent restaurants. A negative ripple effect in the industries that support restaurants continues with the most significant impact on the employee.

It is painful to see all the workers hurt this past year and equally so the business owners. Commercial real estate investors will need to get creative with their properties to shave expenses to keep afloat. Still, many will not be able to, especially when their outstanding loans come due.

Warehouse properties will continue to thrive, and multi-family should remain stable. Industry analysts predict a 25 percent reduction in retail space by 2025, with the hospitality industry rebounding around the same time. The intuitive investor should be able to find opportunities, unfortunately, at the cost of others’ losses.

Top Housing Markets for 2021

Realtor.com’s top 10 housing markets for 2021 have substantial momentum from 2020 which they will carry into 2021. Still low mortgage rates throughout most of the year help these markets see price and sales growth on top of 2020’s high levels. Economic momentum from the thriving tech industry, coupled with healthier levels of supply, will position these markets for growth in 2021. This past year, we’ve all become more reliant on technology to work, learn, and maintain personal connections. The technology hubs that make this possible are thriving, as are their housing markets. Additionally, the relative stability of government jobs in the past year has driven home prices and sales in several state capitals to the top. Home buyers, particularly younger first-time buyers, looking in one of these markets should expect rising prices and heavy competition. Meanwhile, sellers will remain in a position of power, but will find themselves on the other side of the bargaining table when buying their next home.

Top 10 Housing Markets Positioned for Growth in 2021
Rank*Metro2021 Sales Growth % y/y2021 Price Growth % y/yCombined Growth
1Sacramento–Roseville–Arden-Arcade, Calif.17.2%7.4%24.6%
2San Jose-Sunnyvale-Santa Clara, Calif.10.8%10.8%21.6%
3Charlotte-Concord-Gastonia, N.C.-S.C.13.8%5.2%19.0%
4Boise City, Idaho9.8%9.1%18.9%
5Seattle-Tacoma-Bellevue, Wash.8.9%9.7%18.6%
6Phoenix-Mesa-Scottsdale, Ariz.11.4%7.0%18.4%
7Harrisburg-Carlisle, Pa.14.4%3.8%18.2%
8Oxnard-Thousand Oaks-Ventura, Calif.12.5%5.5%18.0%
9Denver-Aurora-Lakewood, Colo.12.5%5.4%17.9%
10Riverside-San Bernardino-Ontario, Calif.12.4%5.5%17.9%
United States7.0%5.7%12.7%

Ranking is based on the combined yearly percentage growth in both home sales and prices expected in 2021 among the top 100 largest markets in the country per realtor.com’s metro level housing forecast. In cases of a tie, Sales Growth y/y was used as a tiebreaker.

Tech Titans 

A common driver of this year’s top markets is the prevalence of high paying tech jobs. Tech salaries in Sacramento, San Jose, Boise, Denver, and Seattle have driven home prices through the roof over the last several years and this trend is expected to continue in 2021. Additionally, areas such as Charlotte and Phoenix are quickly establishing themselves as rising tech hubs with a plethora of jobs in technology, as well as education, government and healthcare. In fact, the projected unemployment rate for 2021’s top markets is 7.9% compared to the national average of 8.2%. Tech-related jobs make up an average of 8.7% of the workforce in this year’s top markets list compared to 6.4% of the U.S. as a whole. 

Relative Affordability

The top markets in 2021 aren’t cheap. In fact, home prices in eight of the top 10 markets are more expensive than the average of the top 100 markets. But many are relatively affordable when compared to their nearby counterparts or offer significantly more square footage for a similar price. For example, buyers priced out of New York ($216 per sq.ft.) can find increased space and affordability in Harrisburg ($122 per sq.ft.), while buyers in Sacramento ($284 per sq.ft.) can get more bang for their buck than nearby San Francisco ($679 per sq.ft.). This is also true when comparing Oxnard ($413 per sq.ft.) and Riverside ($247 per sq.ft.) with Los Angeles ($556 per sq.ft.).  

Home to Younger Households 

On average, the top 10 markets have a larger share of younger households, aged 25 to 34, (14.1%) than the U.S. as a whole (13.5%). A market’s ability to lure millennials is a good indicator of the livability of the area including: job opportunities, dining, and entertainment. However, when it comes to millennials purchasing homes in the top 10, two trends are emerging. In half of this year’s top markets, including: Charlotte, Boise, Phoenix, Harrisburg and Riverside, millennials are already homeowners and expected to make the majority of the home purchases that drive home price growth and sales. In the other group of markets, such as San Jose, Seattle, and Denver, the high cost of living has made homeownership a difficult accomplishment, not only for millennials but for all generations. The high number of millennials in the market shows how popular these markets have become, but older, more financially established generations will be the ones purchasing the majority of the homes next year. 

State Capitals 

Half of the top markets are state capitals, including: Sacramento, Boise, Phoenix, Harrisburg and Denver. The strong government presence in these areas offers stability for their local economy and jobs markets. This is especially important after a year when a global pandemic has significantly disrupted local economies across the nation. On top of the government jobs, these areas also have strong job diversity in both the public and private sectors, including education, healthcare, technology, manufacturing and military, which is positioning them for solid growth in the future. The average GDP growth rate for the top markets is forecasted to be 5.34% in 2021, versus 4.85% for the top 100 metros. 

Key Stats for Top 10 Housing Markets in 2021 
Top 10 Markets (Avg)Largest 100 Markets (Avg)
Sales % Change YoY 2021 (projected)+13.1%+6.8%
Price % Change YoY 2021 (projected)+6.9%+4.7%
Median List Price 2020$586,200$371,500
Median List Price YoY 2019+7.6%+4.3%
Households YoY 2021 (projected)+0.98%+0.53%

2021 Top 10 Housing Markets 

1. Sacramento, CA

Median home price: $554,050
Home price change: +7.4 percent
Sales change: +17.2 percent
Combined sales and price growth: +24.6 percent

Sacramento takes first place on this year’s top markets list. Due to the increased freedom to work remotely, buyers from the San Francisco Bay Area are flocking to California’s state capital for the increased affordability, without having to completely uproot their lives in Northern California. The area draws a diverse crowd ranging from first time homebuyers to empty nesters looking to downsize. Many young families are also drawn to Sacramento for the area’s strong school system, including West Campus high school which has a 99% graduation rate and received a 10/10 on greatschools.org. When residents want a change of scenery, it’s a short trip to Lake Tahoe, wine country or San Francisco. 

2. San Jose, CA

Median home price: $1,199,050
Home price change: +10.8 percent
Sales change: +10.8 percent
Combined sales and price growth: +21.6 percent

Also located in Northern California, San Jose is the largest city in Silicon Valley. Apple, Google, Facebook, Linkedin and even realtor.com® are all within commuting distance of San Jose. Unsurprisingly, the area’s strong economy and top notch school system, including Lynbrook High School (10/10 greatschools.org), lure top tech talent from all over the country. Those looking for a change of scenery can easily drive to San Francisco or the nearby mountains. Without a ton of room for new construction, inventory in the area is tight, so serious buyers should expect to pay above asking price.  

3. Charlotte, NC

Median home price: $368,819
Home price change: +5.2 percent
Sales change: +13.8 percent
Combined sales and price growth: +19.0 percent

Rounding out the top three on this year’s top markets list is Charlotte. The area’s high quality of life, great weather, strong school system including Providence High (10/10 greatschools.org) and rich history draw a diverse mix of both young and old buyers. Millennials are beginning to transition from the downtown city center toward the suburbs as they raise families and take advantage of the increased affordability and extra space. With access to both the beach and mountains, Charlotte has something for everyone, including kayaking along the Catawba River and hiking the Carolina Thread Trail. Housing supply has been tight, but new construction is booming as builders try to meet current demand. Charlotte was No. 7 on 2018’s top markets list. 

4. Boise, ID

Median home price: $445,000
Home price change: +9.1 percent
Sales change: +9.8 percent
Combined sales and price growth: +18.9 percent

Idaho’s capital city is firmly establishing itself as a rising tech hub in the U.S. The area’s high quality of life and strong economy draw people from all over the country, with the biggest influx coming from Washington, Oregon and California. This trend has accelerated as the ability to work remotely has drawn many young workers looking for a slower pace of life, increased affordability, and access to the area’s many outdoor amenities. Boise offers residents a mild four season climate, a vibrant revitalized downtown with plenty of entertainment, as well as a plethora of restaurants and boutique shopping. Outdoor enthusiasts are drawn to the area’s adrenaline pumping outdoor activities such as white water rafting and four different ski resorts. New construction has been booming in Boise over the past few years as builders scramble to keep up with rising demand. Boise is no stranger to realtor.com®‘s Top Markets list, it was No. 1 in 2020 and No. 8 in 2019. 

5. Seattle, WA

Median home price: $629,050
Home price change: +9.7 percent
Sales change: +8.9 percent
Combined sales and price growth: +18.6 percent

Coming in fifth is Seattle, which is home to some of America’s largest and most well known companies including: Amazon, Starbucks, Costco, Microsoft and Nordstrom. The area’s booming tech scene, high quality of life, and access to both the water and mountains draws a crowd from all over the country. New and growing families will find a strong school system, including Greenwood Elementary School which scored a perfect 10/10 on greatschools.org, as well as four other schools which received scores of 9/10. Driven by high home prices and the desire for more space, buyers are beginning to search for homes further from the downtown center. This is especially true for first time homebuyers. 

6. Phoenix, AZ

Median home price: $412,260
Home price change: +7.0 percent
Sales change: +11.4 percent
Combined sales and price growth: +18.4 percent

Arizona’s state capital has become a magnet for both younger buyers looking to take advantage of the affordable cost of living, as well as retirees who want to soak up the sun. Recently, the area has seen a large influx of people from pricey West Coast markets — San Francisco, Seattle and Portland. While builders have struggled to meet the rising demand for housing, Phoenix set a record for new home permits in March, April and May, so new inventory is on the way. Phoenix offers residents all the big city amenities of shopping, dining and entertainment, without the traffic of larger metropolitan cities. Additionally, those who want to get out and hit the golf course have over 400 courses to choose from. Phoenix is a business friendly city and has a diverse list of large employers in both the public and private sectors from education, government and healthcare to technology, manufacturing and military. Phoenix was No. 5 on 2019’s top markets list. 

7. Harrisburg, PA

Median home price: $262,000
Home price change: +3.8 percent
Sales change: +14.4 percent
Combined sales and price growth: +18.2 percent

The state capital of Pennsylvania has become a hot spot for buyers looking for the quiet suburban lifestyle, more space, and increased affordability. Harrisburg is centrally located near New York, Baltimore, Washington D.C., Pittsburgh and Philadelphia. Millennials in particular have been drawn to the area as both first time homebuyers and move-up buyers looking for more space for their growing families. Harrisburg boasts a strong job market not only for government employees working at the state capital, but those in healthcare and shipping industries as well. One of the biggest draws to the area is the ability to go from downtown, to the suburbs, to more rural areas, in under 15 minutes.  

8. Oxnard, CA

Median home price: $824,000
Home price change: +5.5 percent
Sales change: +12.5 percent
Combined sales and price growth: +18.0 percent

Located north of Los Angeles on the Pacific Coast is Oxnard, Calif. The area is a mix of farmland and Pacific Coast beaches, such as Hollywood Beach — a second home market for wealthy Angelanos looking for a break from the hustle and bustle of city life. Farmers in the area grow strawberries and lima beans and the annual Strawberry Festival is a big draw for Southern California locals. Thanks to its affordability, the area has seen a boost in demand from buyers seeking relief from Los Angeles and Orange County home prices. Beach homes in the area are significantly more affordable than those in Malibu or Santa Monica, making this a popular alternative for buyers hoping to get more bang for their buck. 

9. Denver, CO

Median home price: $520,000
Home price change: +5.4 percent
Sales change: +12.5 percent
Combined sales and price growth: +17.9 percent

Colorado’s state capitol is located just outside of the Rocky Mountains. The area’s housing market has been red-hot for the last several years and builders have struggled to keep up with the high demand for housing. Though the city is rapidly expanding, it still holds much of its Old West charm, and its cost of living remains relatively affordable compared to other Western markets. Many of Denver’s residents are outdoor enthusiasts who love to take advantage of the area’s easy access to mountains, rivers and lakes. No matter the season, there is an outdoor activity closeby. Denver’s high quality of life is a major draw for many residents, as well as all the amenities of downtown. With boutique shopping, dining, and endless entertainment, the area has been supremely popular with millennials. Due to the area’s spike in demand, home prices have grown rapidly, causing many first time home buyers to search further out from the downtown center. 

10. Riverside, CA

Median home price: $475,050
Home price change: +5.5 percent
Sales change: +12.2 percent
Combined sales and price growth: +17.9 percent

Located in the Inland Empire, Riverside, Calif., is named for its location along the Santa Ana River. Riverside draws many people who want to take advantage of Southern California’s temperate weather, but don’t want to pay Los Angeles or Orange County home prices. Riverside is centrally located, just 30 minutes to the beach, mountains or desert, making it a great location for anyone that loves to be outdoors. Additionally, it’s in close proximity to Southern California’s attractions of Disneyland in Anaheim, skiing in the San Bernardino Mountains, wine tasting in Temecula or the endless entertainment in Los Angeles. Due to Southern California’s high cost of living, Riverside’s relative affordability and strong school system including Riverside Stem Academy(9/10 greatschools.org), have made it a popular destination for first time homebuyers, growing families, and retirees.   


2021 Top Housing Markets Ranked

Rank*Metro2021 Sales Growth % y/y2021 Price Growth % y/yCombined Growth
1Sacramento–Roseville–Arden-Arcade, Calif.17.2%7.4%24.6%
2San Jose-Sunnyvale-Santa Clara, Calif.10.8%10.8%21.6%
3Charlotte-Concord-Gastonia, N.C.-S.C.13.8%5.2%19.0%
4Boise City, Idaho9.8%9.1%18.9%
5Seattle-Tacoma-Bellevue, Wash.8.9%9.7%18.6%
6Phoenix-Mesa-Scottsdale, Ariz.11.4%7.0%18.4%
7Harrisburg-Carlisle, Pa.14.4%3.8%18.2%
8Oxnard-Thousand Oaks-Ventura, Calif.12.5%5.5%18.0%
9Denver-Aurora-Lakewood, Colo.12.5%5.4%17.9%
10Riverside-San Bernardino-Ontario, Calif.12.4%5.5%17.9%
11Columbus, Ohio10.3%7.6%17.9%
12Bridgeport-Stamford-Norwalk, Conn.9.7%7.8%17.5%
13Fresno, Calif.8.9%8.5%17.4%
14Los Angeles-Long Beach-Anaheim, Calif.10.0%7.3%17.3%
15Las Vegas-Henderson-Paradise, Nev.12.0%5.2%17.2%
16El Paso, Texas10.6%6.4%17.0%
17North Port-Sarasota-Bradenton, Fla.10.3%6.6%16.9%
18San Diego-Carlsbad, Calif.11.3%5.5%16.8%
19Palm Bay-Melbourne-Titusville, Fla.11.6%4.7%16.3%
20Tampa-St. Petersburg-Clearwater, Fla.8.7%7.5%16.2%
21Orlando-Kissimmee-Sanford, Fla.10.1%5.8%15.9%
22Dallas-Fort Worth-Arlington, Texas11.3%4.4%15.7%
23Kansas City, Mo.-Kan.12.1%3.5%15.6%
24Hartford-West Hartford-East Hartford, Conn.12.1%3.4%15.5%
25Jacksonville, Fla.9.4%5.0%14.4%
26Stockton-Lodi, Calif.8.2%6.1%14.3%
27Portland-Vancouver-Hillsboro, Ore.-Wash.8.1%6.2%14.3%
28Bakersfield, Calif.10.5%3.7%14.2%
29Memphis, Tenn.-Miss.-Ark.9.1%4.8%13.9%
30Charleston-North Charleston, S.C.9.5%4.3%13.8%
31McAllen-Edinburg-Mission, Texas10.0%3.6%13.6%
32Knoxville, Tenn.7.9%5.7%13.6%
33Rochester, N.Y.8.4%5.1%13.5%
34Columbia, S.C.8.1%5.4%13.5%
35Pittsburgh, Pa.9.2%4.1%13.3%
36Salt Lake City, Utah7.5%5.7%13.2%
37Austin-Round Rock, Texas8.4%4.6%13.0%
38Grand Rapids-Wyoming, Mich9.1%3.6%12.7%
39Springfield, Mass.8.1%4.2%12.3%
40Milwaukee-Waukesha-West Allis, Wis.6.3%6.0%12.3%
41Washington-Arlington-Alexandria, DC-Va.-Md.-W. Va.5.2%6.7%11.9%
42Chicago-Naperville-Elgin, Ill.-Ind.-Wis.8.3%3.5%11.8%
43New Haven-Milford, Conn.8.6%3.1%11.7%
44Deltona-Daytona Beach-Ormond Beach, Fla.5.4%6.3%11.7%
45Colorado Springs, Colo.5.4%6.2%11.6%
46Philadelphia-Camden-Wilmington, Pa.-N.J.-Del.-Md.7.0%4.5%11.5%
47San Antonio-New Braunfels, Texas7.2%4.3%11.5%
48Louisville/Jefferson County, Ky.-Ind.7.0%4.2%11.2%
49Boston-Cambridge-Newton, Mass.-N.H.5.4%5.7%11.1%
50Baltimore-Columbia-Towson, Md.4.8%6.2%11.0%
51Greensboro-High Point, N.C.6.8%4.1%10.9%
52Albany-Schenectady-Troy, N.Y.7.1%3.7%10.8%
53Miami-Fort Lauderdale-West Palm Beach, Fla.3.7%7.1%10.8%
54Richmond, Va.6.2%4.5%10.7%
55Youngstown-Warren-Boardman, Ohio-Pa.6.1%4.5%10.6%
56Buffalo-Cheektowaga-Niagara Falls, N.Y.6.3%4.0%10.3%
57Lakeland-Winter Haven, Fla.5.1%4.9%10.0%
58Providence-Warwick, R.I.-Mass.4.5%5.5%10.0%
59Virginia Beach-Norfolk-Newport News, Va.-N.C.8.1%1.8%9.9%
60Raleigh, N.C.6.0%3.9%9.9%
61Houston-The Woodlands-Sugar Land, Texas5.3%4.6%9.9%
62Atlanta-Sandy Springs-Roswell, Ga.3.6%6.2%9.8%
63Des Moines-West Des Moines, Iowa6.9%2.8%9.7%
64San Francisco-Oakland-Hayward, Calif.1.3%8.4%9.7%
65Akron, Ohio5.3%4.2%9.5%
66New Orleans-Metairie, La.5.3%4.2%9.5%
67Cleveland-Elyria, Ohio6.7%2.7%9.4%
68Spokane-Spokane Valley, Wash.3.8%5.6%9.4%
69Baton Rouge, La.6.5%2.6%9.1%
70Durham-Chapel Hill, N.C.4.8%4.3%9.1%
71Oklahoma City, Okla.5.8%3.0%8.8%
72Syracuse, N.Y.4.2%4.6%8.8%
73Cincinnati, Ohio-Ky.-Ind.4.9%3.8%8.7%
74Chattanooga, Tenn.-Ga.4.9%3.5%8.4%
75Portland-South Portland, Maine2.0%6.4%8.4%
76Augusta-Richmond County, Ga.-S.C.5.1%3.2%8.3%
77Worcester, Mass.-Conn.3.5%4.5%8.0%
78Tucson, Ariz.3.4%4.5%7.9%
79Nashville-Davidson–Murfreesboro–Franklin, Tenn.3.1%4.8%7.9%
80Scranton–Wilkes-Barre–Hazleton, Pa.6.7%1.1%7.8%
81Albuquerque, N.M.4.5%3.2%7.7%
82Toledo, Ohio3.9%3.3%7.2%
83St. Louis, Mo.-Ill.3.4%3.8%7.2%
84Jackson, Miss.5.3%1.9%7.2%
85Madison, Wis.5.1%2.1%7.2%
86Winston-Salem, N.C.2.6%4.4%7.0%
87Birmingham-Hoover, Ala.3.7%3.2%6.9%
88Urban Honolulu, Hawaii5.2%1.6%6.8%
89Indianapolis-Carmel-Anderson, Ind.4.1%2.3%6.4%
90Omaha-Council Bluffs, Neb.-Iowa1.4%4.9%6.3%
91Wichita, Kan.2.4%3.4%5.8%
92Cape Coral-Fort Myers, Fla.1.5%4.3%5.8%
93Greenville-Anderson-Mauldin, S.C.4.3%1.3%5.6%
94Minneapolis-St. Paul-Bloomington, Minn.-Wis.0.5%4.8%5.3%
95Allentown-Bethlehem-Easton, Pa.-N.J.0.3%4.9%5.2%
96Tulsa, Okla.2.7%2.0%4.7%
97Little Rock-North Little Rock-Conway, Ark.1.9%1.5%3.4%
98Dayton, Ohio0.7%1.7%2.4%
99Detroit-Warren-Dearborn, Mich-2.8%4.9%2.1%
100New York-Newark-Jersey City, N.Y.-N.J.-Pa.-3.8%0.5%-3.3%

*Ranked by Combined Growth. In cases of a tie, Sales Growth y/y was used as a tiebreaker.


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How to Find Commercial Property Owner Contact Information

What is it that comes to mind when you think about the process and work that goes into finding property owner contact information?

My best guess is that it’s not very positive.

While you might enjoy talking to assistants, receptionists, and clerks, your team’s time is best spent talking and marketing directly to decision-makers.

That begs two questions: 

  • What’s the best way to find commercial property owner contact information?
  • Is there a scalable source that provides that information online?

Reonomy’s database of commercial property owners allows CRE professionals to digitally analyze and understand owning structures, the people behind LLCs, and the contact information of individuals—in any market, from any market.

How to Find Property Owner Contact Information

When using the Reonomy you can either search for specific, known properties and find owner contact information, or you can discover new properties and opportunities from scratch, then find the owners just as easily.

More sophisticated teams may take the backend approach.

If you’re looking to improve and scale your prospecting efforts, however, here’s a step-by-step, case-by-case look at how to do all of that within the Reonomy platform.

Find the Property’s Reported Owner

To find the reported owner of a known property by address, you can simply enter the exact address of the desired property into the search bar at the top of the Reonomy platform.

Reonomy Property Owner Contact Information by Address

For example, say you enter, “2552 2nd Ave, San Diego, CA 92103.” As you’re typing, the address you are looking for will appear in the dropdown.

Reonomy San Diego Owner Search by Address

Once you click the address in the dropdown, you’ll be taken to the profile page of that property, where different research cards are broken out for different pieces of information on the asset.

That includes tabs for Building & LotOwnershipTenantsSalesDebtTaxNotes, and Files.

Reonomy Property Owner Search by Address

In each of these sections is a bevy of information describing the physical layout and size of the property, its use, transactional history, ownership, and so on.

As you might imagine, the reported name (and contact information) of the owner can be found underneath the Ownership tab.

Reonomy Reported Owner by Address

In that tab, you’ll see the reported owner (LLC, individual, or any other entity) and whether or not that owner is in the same state as the asset.

Owner names and contact information remain locked until you choose to click the “Unlock TrueOwner” button and use an unlock credit (more on that below).

To prospect brand new opportunities and discover owners from scratch, you can run a property search in Reonomy based on an array of different physical and transactional qualifications.

For example, maybe you don’t know the exact address of a property, or simply want to run a general search to find targeted property owners in California.

Whatever the case may be, you can search multi family and commercial assets in any U.S. market based on the following (and more):

  • Asset Location – State, City, MSA, County, Zip Code, Neighborhood, Street Name.
  • Asset Type/Use – Multi-Family, Office, Retail, Office, Industrial, Land, Mixed-Use.
  • Building & Lot Size/Age – Building square footage, number of units, year built.
  • Sales History – Most recent sale date and price, multi-parcel sales.
  • Debt History – Most recent mortgage amount, origination and maturity dates, most recent lender, current stage of pre-foreclosure (if any).
  • Tenants – Tenant type, tenant name, tenant web address.
  • Ownership – Owner mailing address, in-state owners, owner-occupiers.
  • Tax History – Most recent tax amount, most recent year-over-year tax change.

Upon completing a property search, you’ll generate a list of results that match all of your applied filters.

You can either dig into each property individually and access contact information as shown above, or you can export the contact information for all of those assets in bulk, which we’ll discuss later in this article.

Pierce the LLC & Get Contact Info with Reonomy

By simply clicking the “Unlock TrueOwner” button in an asset’s Ownership tab, you’ll be given the names of all individuals associated with ownership.

That might be a single outright owner, or a group of individuals tied to an LLC.

Names of Decision-Makers and LLC Owners

For an individual owner, you’ll usually see a matching name for the reported owner and that of the lead contact in Reonomy:

Reonomy San Diego Property Owner contact information

For LLC owners, you’ll see all associated contacts, with the lead contact highlighted at the top of the list, as seen below:

Reonomy San Diego Property Owner Contact Information

The role of each LLC member is listed on the contact card as well so that you can see if they are a likely decision-maker on the property.

Reonomy San Diego Property Owner contact Information

You’ll also notice the green circle icons next to both the individual and LLC names in the screenshot above.

Reonomy uses green and grey icons to signify the most trustworthy ownership details and contacts associated with the property.

In some cases, for example, you may be presented with a lengthy list of LLC members. These icons help you decipher who you should contact first.Reonomy Green Contact Icon

Green icons represent the most trusted ownership details associated with the property. Often times, contacts with a green icon will be the ones most directly involved with the property—these are likely the most useful contacts.Reonomy Grey Contact Icon

Grey icons represent good additional sources of owner contact information that you can use to further analyze ownership portfolios (with a quick owner search) , or if you’re unable to get in touch with the primary decision-makers.

You can also see ownership structure, such as a holding company that owns the LLC behind a property. These contacts are nested, so that you can see the flow of ownership, and who to contact at each level.

Reonomy Ownership Structure

Phone Numbers, Email, & Mailing Addresses

After unlocking the TrueOwner information, you’ll be able to see the mailing address of the LLC in the top section of the Ownership tab.

Reonomy Property Owner Contact Information

In the detailed card, where available, you’ll also see the phone number(s), email, and mailing address of each individual owner associated with the LLC.

Office phone lines, cell numbers, and email addresses reside on the right side of each card (highlighted below). Mailing addresses of individuals appear on the left side, underneath the name of the owner.

Reonomy San Diego Property Owner Contact Information

Thumbs-up and thumbs-down icons allow Reonomy users to report the legitimacy of owner contact information for that particular contact.

Example: Finding a Commercial Owner’s Phone Number with Reonomy

Nowadays, one of the best ways to connect with a property owner is to reach them directly by phone. 

Yet, so many people have turned away from landlines (thanks, robo-callers!) in favor of using their cell phones exclusively.

Whether you’re looking for a property owner’s landline or cell phone number, Reonomy is a valuable resource.

Say you’re a real estate investor driving down the street. 

You pass a shuttered grocery store and think to yourself, “wow, this could be an incredibleredevelopment opportunity.”

You’d love to connect with the owner, but don’t know where to begin.

As a first step, you could look up that property by address in Reonomy, as shown below.

Finding Commercial Owner Phone Numbers with Reonomy

Now, again, on that page, if you click the “Ownership” tab and unlock the owner’s contact information, you can find precisely what you’re looking for:

1. Who owns the property.

2. And in this case, two phone numbers associated with that owner.

Commercial Property Owner Phone Numbers in Reonomy

Conversely, let’s say you’ve searched for a property and now know the owner’s mailing address.

Now you’re interested in learning if that owner owns anything else, and if so, where those properties are located.

Because properties are often held in different names, or under different LLCs, in this case, we’re going to search for information based on the owner’s mailing address, as shown below.

Property Owner Search by mailing address

You can also click the mailing address within any property Ownership card, to see all other properties attached to that same mailing address.

Searching Property Owners by Mailing Address

In either case, we can see that this owner actually has several holdings in the Greater Boston area.

Property Owner Search by Mailing Address

We can look at the ownership information for each of the property cards to determine if anyone else has an ownership stake in these properties, and if so, track down their phone numbers.

In this case, we’ve selected one of the properties under that owner’s name and see that there are actually several others who are part of the corporation that owns this property/portfolio.

We can see the landline, cell phone numbers and email addresses for each of these people.

Commercial Property Owner Phone Numbers in the Reonomy Platform

This is a particularly valuable way to find property owners’ phone numbers.

That’s because if an owner doesn’t answer a call, you can still contact an associate of their’s from another property, as a way of beginning the conversation you want to have with them.

It’s just an additional avenue to getting in touch with a prospect.

Another way you can use Reonomy to search for property owners’ phone numbers is by searching for properties within a specific asset class in a certain geography, as mentioned above.

Let’s say, multifamily properties located in Dallas, Texas.

Say you’re a contractor looking to generate new business leads.

Maybe you refine your search to filter for properties that were sold within the past year, as this may be an indication that the owner is interested in doing some work to their investment property.

Owner Search by Recent Sale Date

Now you have a list of all of the multifamily properties in Dallas sold within the past year.

Property Owner Search Dallas Texas by Recent Sale Date

As a next step, you can click through each of the searches to identify the contact information for the new property owners, or grab a list of phone numbers in bulk.

Unlocking Contact Information in Bulk

In some cases, you may want to gather contact information on many property owners at the same time.

For example, let’s say you wanted to run a targeted direct mail campaign in Phoenix to owners of multi family properties of at least 10 units.

After adding a few filters, you’re left with more than 2,000 prospect properties.

Reonomy Phoenix Property Owner Contact Information

Instead of having to go through each property to unlock the owner contact details, you can simply unlock all contact information in one fell swoop.

Once you have conducted your search, you can click the “More” button that resides at the top of your list of results, where you’ll see the option to “Unlock TrueOwners.”

Reonomy Phoenix TrueOwner Bulk Unlock

By clicking this, you’ll have the option to decide how many properties from your list you’d like to unlock contact information on, with the ability to pull as many as 250 contacts at once.

Reonomy Phoenix TrueOwner Bulk Unlock Contact Information

Once you type in the number of properties you’d like to gather contact information for and click “Unlock TrueOwners,” Reonomy will automatically unlock the contact information for those properties.

Exporting a List of Property Owner Contact Information

Also, from your list of results, you can export full lists of property information, including full ownership contact information.

To export property information plus contact information in bulk, click the Export button on the property search page.

Reonomy Phoenix TrueOwner Export Contact Information

In the dropdown, you’ll be able to select/deselect three options.

  • The first option is to unlock the contact information of all property owners in your export, outright.
  • The second option allows you to only export properties from your list that have the names of property owners available for them.
  • The last option allows you to break out the contact information from your list of property owners into a separate list.

From there, you can select the number of properties you’d like to export, along with the selections mentioned above. These lists can be exported in either an XLS or CSV file format.

In the end, the process only takes a few quick steps—from your initial discovery of the right, targeted property owners, all the way through reaching them directly on the phone.

The Reonomy platform can do the heavy-lifting for you, so all that remains is for you to pick up the phone, reach out, and start winning new business immediately.

Using Public Records and Other Sources

Why is contact information so difficult to access otherwise? Well, with public property owner records and other free or low-cost options, the data simply isn’t going to be reliable or up-to-date.

Getting contact information for anything close to free is likely going to result in more issues than it could potentially solve, creating the need for you to double, triple, and cross-check sources to make sure you’re not wasting too much time.

Reonomy is powered by these same public sources (across the entire country), but is also bolstered by a bevy of private sources and proprietary algorithms that bring contact information together in a way that’s never been done before.

Asset Based Lending for Real Estate Investors

Maximize Your Borrowing Capacity With Asset Based Lending

Asset based lending is the process by which a person can acquire a loan, not based on the personal assets they have or the salary they earn, but by the real estate they currently own and its propensity to make money. The process of getting an asset based loan–a specific type of bridge loan (12-24 months) used only for investment and commercial properties–is generally quicker than dealing with institutional banks, requires less paperwork, and means that you will have cash in hand faster to spend more money and grow your business.

Asset based financing is helpful if you have had bad credit or a foreclosure, and are having trouble getting a loan from traditional banks. It is also helpful if you are experiencing rapid growth in your real estate investing and need the capital to continue the process.

How Asset Based Lending Works

In asset based lending, hard money lenders use your collateral, in this case real estate, to help you acquire additional cash to fund further projects. If your money is tied up in real estate, it is not liquid, and if your company is growing fast, odds are you need more cash to continue growing. This is where hard money lending comes in.

Hard money lenders can get cash in your hand more quickly than typical financial institutions, and the process requires less paperwork and offers more flexibility. Along with the equity in your current real estate assets, a hard money lender will look at accounts receivable, equipment, and inventory to determine your loan. Because the real estate itself is not liquid and you are not borrowing on your personal income, hard money lenders will usually have a higher interest rate than traditional banks.

What Do Hard Money Lenders Do?

In the fast paced real estate market, you don’t want to miss out on great deals just because your assets are not liquid. Hard money lenders at Stratton Equities will look at your assets and determine the maximum amount for your credit line. You can borrow as needed, and your credit base will shrink or grow as your assets change.

Keeping this line of credit open will allow you to grow your business and give you cash in hand, without waiting for your own cash receipts to catch up. This will also allow the hard money lenders the peace of mind that you have assets to forfeit if for some reason you default on your loan.

Benefits of Asset Based Lending

Whether you are trying to figure out how to finance a house flip or need a new construction loan, there are several benefits to acquiring asset based financing:

  • These loans are typically faster than a traditional loan, and require less documentation and paperwork. In addition to closing faster than a term loan, these loans have fewer underwriting guidelines and higher interest rates.
  • The cash flow asset based lending offers can bridge the gap between expenditures and incoming cash receipts for your business.
  • The loan can grow as your assets grow, leaving you with more liquidity to purchase more real estate.
  • The loan money can be used as you need it, and is not tied to a certain purpose (such as equipment purchase.)

Through asset based lending, Muevo Investments will make it easy to turn your collateral into cash, so you can finance your next big idea. If you have an investment or commercial property and wish to speak with one of our Loan Officers, Muevo Investments at 217-799-0156, email us today!

Buying Portfolios: A Guide to Help You Build Your Real Estate Empire

So, you might already know your way around real estate and have picked up a property or two. And if that’s the pace you want to go at, there is absolutely no problem with that whatsoever. Not everyone needs nor wants to build an empire.

But if you do want to “build an empire,” there’s several ways to accelerate your progress substantially, one of which is buying portfolios.

This is where you buy multiple properties at the same time instead of picking up one at a time. Of course, that doesn’t mean you have to buy a portfolio with 100 properties right of the get go. Instead, you can start by buying portfolios of two or three or ten houses or whatever comes your way.

Institutional Investors vs. Entrepreneurial Investors

First of all, there are two significant group of investors who are interested in buying portfolios; institutional investors and entrepreneurial investor as I call them. Institutional investors consist of real estate investment trusts (REITs) and other funds which examine portfolios like Wall Street assesses stocks.

For example, such investors constantly talk about gross yield and what their buy box is. Gross yield equals the annual rent divided by the total price and their “buy box” is the range of gross yield they will accept.

You might notice that this is not the most entrepreneurial way to examine the property. They mostly analyze portfolios for the cash flows as they need to hit certain returns for their investors.

Entrepreneurial investors should aim first for built-in equity and second for cash flow. You can get approximate numbers by looking at Zillow or Redfin, but at the end of the day, I would recommend any entrepreneurial investor to evaluate each property individually and add up the total of all their values to determine the total value of the portfolio.

Finding Portfolios

You can find portfolios on the MLS, Loopnet or sites specifically for portfolios like Entera. From time to time, you will also find portfolios listed on the Facebook marketplaces or even Craigslist.  If you choose to, you can also market to these by using site like List Source to find people who have multiple units and then send them a letter or postcard (or both). You should also network and local REIA groups and other meetup events. Rub shoulders with investors who have a good number of units and when they finally decide to sell, you will likely be the first they reach out.

Rehab and Deferred Maintenance

Buying portfolios is similar to buying an apartment as there will always be some deferred maintenance on units that are currently rented.

Just like with an apartment you should walk every unit when you have the properties under contract. The only exception would be if the buyer will not allow it and it’s a sales condition. If you accept this condition you need to be much more conservative. It’s likely the units you do not view during your inspections need more work than the ones you do view. So make sure to add in a larger contingency for repairs in such cases.

Financing Portfolios

Keep in mind that there are not as many portfolio buyers on the market as buyers of individual properties. Most investors look for just a single house and big portfolio investors look for 100 plus in good neighborhoods. In many cases, this gives you a bit of an upper hand in the negotiating, especially if the seller is motivated. It’s unlikely they have a lot of other options. So seller financing is often something they will consider and, if needed, something you should ask for.

Since every house is on a separate parcel you may be able to use the lending option more creatively. For example, you could get a blanket loan on all of them with a bank, or just some of them while buying the rest for cash or with private lenders. Or you could split the closings up (if the seller allows) and close in two or three closings to make the financing easier.

It’s not very often that these portfolios come around, so portfolio investing shouldn’t be the only thing you do. But when you can find a quality portfolio, it is a great way to jumpstart your real estate business. Therefore, it’s definitely something to look for and be ready for when it comes around.

https://thinkrealty.com/buying-portfolios-a-guide-to-help-you-build-your-real-estate-empire/?vgo_ee=C4rCwPyiSArJ%2B1aif%2BND9bg2ZiOyuR5N90G0YlW39rQ%3D