If you are one of the many investors sitting on the sidelines waiting for the perfect opportunity to snag in-demand commercial real estate, now may be your chance.
Last year was one of change for the commercial real estate market in Houston, as things came to a grinding halt due, in part, to lower oil prices and the poor national economy. As a result, commercial vacancies were way up in Houston, and rental prices began to free fall.
A Different Picture in 2010
Jump ahead to 2010, however, and many analysts are painting quite a different picture. With lenders now willing to once again begin lending, and with interest rates still near historic lows, many individuals have given much thought to the advantages of purchasing commercial real estate in Houston.
The next few months in Houston will be an interesting time for commercial real estate, as many investors are expected to jump into the ring and take advantage of low prices.
Houston is also expected to experience more job gains in 2010, thereby spurring a need for commercial space. As more job gains materialize, a population growth will also likely ensue, thereby lifting the Houston economy, as well as the real estate market in whole.
As Houston continues to offer more jobs, it will continue to weather the national economic storm – and come out ahead.
Because of overbuilding last year, many building owners and developers are now anxious to sell or lease, thereby providing great opportunities for both renters and real estate investors. In other words, everyone seems to be coming out ahead in 2010.
What we can expect in 2010:
- A stronger demand for housing, due to an increase in population
- An increase in demand for commercial real estate, due to an increase in job opportunities
- A growing economy and a steady real estate market, buoyed along by a strong energy and healthcare sector
Tags: commercial real estate