Research

Research is indispensible in commercial property investment decisions. Buy, sell, lease or rent whatever is your action an informed decision helps you make commercially viable decision.

Relevant data its analyzing it provide valuable insight into trends, forecasts etc Its directly impact the decision making process. A well researched brokerage firm is in an enviable position to give the right guidance. Success of a brokerage firm largely depends upon its advice. Data inference and analysis helps this process.

Availability of reliable, correct and timely data is imperative to research and informed decision making.

RE/MAX Commercial Brokers is strongly placed in this aspect of business. It sources data from the premier body of realtors the National Association of Realtors (NAR) NAR publishes data on a monthly, quarterly basis. Various economic data are published including data pertaining to  commercial property business.

NAR data is timely, precise, wide-ranging and gives market trends, activity, availability etc and much more. Local, National and International data is also provided.

A careful look at the outlook survey provided reveals some important insights. A few important inferences that can be drawn would be as follows:

— Though the GDP looks healthy when compared to year 2012 it has gone down when compared to 2013. However the projected GDP for 2015 is the highest in the past four years.

— Unemployment is at its lowest in the past four years

— The commercial property sector witnessed the following trends: High value (over $2.5M) property sale rose by 15%, while individual property sales soared by 39%. Portfolio transactions saw a dip in business. The star performer was retail sector with a whopping jump of 147.% in business. Investors seemed to lap up retail sector properties. All this while prices increased marginally by 3%.

— Cap rates were consistent @6.5% across the four major types of commercial property segments.

— While the national average Return on Investment (RoI) was 2.74% industrial property segment bettered it marginally and retail segment was significantly more. Office and Apartment gave lesser RoI compared to the National average.

— Commercial property vacancies are predicted to be the lowest in the multifamily segment and consequently their absorption rate is the highest across property categories.

— In Q2 of 2014 in Detroit, Las Vegas and Phoenix had the highest vacancy rate in the Office property market.

— Real Capital Analytics (RCA) provided this insightful data. The Research division of NAR conducts surveys and obtains data on various economic parameters and the commercial property market. The above statistics provide a deep insight that would be of immense help to both the investor and realtor.

RE/MAX Commercial Brokers realizes the value addition that research provides. You can benefit from the analysis of researched and reliable data to maximize your returns.