It may be hard to avoid election coverage these days, but what do we know about how it will affect the CRE world? As part of our initiative to be up-to-date on the latest news, we've gleaned the internet for what impact the 2016 presidential election findings have on Commercial Real Estate.
Excess Supply: As the economy continues to recover from the recession, we are beginning to see an excess in multifamily housing. According to a study by National Real Estate Investor, the average apartment rent in the US increased 4.7 percent in 2015. However with the looming election, rents are expected to grow at a slower rate going forward due to over-saturation. Uncertainty Leads to Slower Development: Data shows us that predicable elections equal more confident consumers, which in-turn creates a healthier economy. There have been many words used to describe this election, but "predictable" has never been one of them. In such a vulnerable economy, companies are becoming increasingly worried and hesitant to make development-related decisions. Statistics Aren't Necessarily Gospel: We can't account for unforeseen events that could alter the outcome of this election. While markets do experience general ebbs and flows, a natural disaster could move markets and the election in even more unpredictable ways. We Could See a "Relief Rally": There may be value in the unpredictability of this election. For instance, if we compensate for negative news that doesn't come to fruition, we may experience a Relief Rally after the election. During this period, market prices will increase as a result of poor economic data, corporate earnings or political outcomes that were "priced into" the market. No Matter the Election Outcome, Certain Trends will Always Create Opportunities: With the increase in technology and the birth of the digital age, we will continue to see an increase in economic stimulation and employment opportunities. These are all at the core of a successful CRE market. How do you think the election will affect CRE? Is there anything we missed? Here are some articles we've referenced in this post: 10 Tips for Beginners in the Appraisal Industry How the Election Year Impacts Commercial Real Estate Will the Upcoming Election Affect Job Growth and/or the Real Estate Market? How Will the Presidential Election Impact Markets? How Presidential Elections Affect the Markets Relief Rally
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10 Tips for Beginners in the Appraisal IndustryValbridge | Kansas City understands how difficult it can be to land your first job in the appraisal industry and in light of our recent opening for a Research Analyst, we've decided to give you our best tips for beginners to the field.
1. Be UTD on the Latest Commercial Real Estate News We spend a great deal of time pouring over real estate blogs, business journals, and scholarly articles in order to do our jobs to the best of our ability. Things can change in an instant in this field, so we have to make sure we are up to date on what's going on in commercial real estate. 2. Get to Know the Competition Not only do we know our competitors, but we are friends with many of them! In real estate appraising it's important to know the firms in your area in order to gain better footing in the industry. There are instances when we will refer work to outside firms, and they will do the same for us. 3. Be Personable Whether we're doing field work for a client or chatting with associates at a networking event, people skills are extremely important in the CRE world. In many cases, being personable goes a long way in getting the information you need for an assignment. 4. Be Committed to Continuing Education The work doesn't stop once you land the job. In appraising, we have to continuously maintain certifications and take classes to make sure we have the most timely information and training. For example, a General Certified license requires 300 hours of education. 5. Find a Firm that's Right for You It's incredibly important to get to know yourself and your needs in training. Some firms employ a "sink-or-swim" method of training, while others (like us) employ very thorough practices in getting our employees up to speed. 6. Find a Mentor in the Industry Having an industry insider for advice really helps get you through those first few months. We promote a team-like atmosphere here in our office and find that it's incredibly helpful to new hires. 7. Have a Sense of Humor It's easy to forget to not take things so seriously sometimes. Most of the time we're hard at work here at Valbridge, but we also love to send funny emails, prank each other, and go on fun office outings! 8. Have a Passion for Development and Real Estate Many of the people who work at Valbridge come from different backgrounds, but all share a passion for commercial real estate. Doing something in the field you love makes everything worthwhile. 9. Have a Passion for your City! One of the reasons our appraisers enjoy their jobs so much is because they love getting to work on projects in the Kansas City area. Imagine getting to work on a property you've always loved, or for a local client you admire. Getting to know Kansas City so well is an awesome perk; it's like having a backstage pass to the city! 10. Have a Fire in your Belly This career path is not for the faint of heart. Motivation is key in being a successful appraiser, and many people do not make it past the six-month mark. There will definitely be humps in the beginning (as with any job), but the end result is an extremely rewarding and well-paying career. We hope these tips help! Was there anything else you would like to know? Do you have tips yourself that you would like to share? Be sure to comment below this post! |
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