2022 has been great! We seem to still be busy and even with a change in pricing and availability most people seem to be doing pretty good. Yes there are people struggling and having a hard time but over all it seems like things just keep chugging along. So I thought I would offer up a few things to watch for or what to do in Real Estate in our current market.
Deals – They don’t really exist. The deal is making it work. If your revenue or exit plan does not make the purchase price or lease rate work just don’t do it. But to wait for a deal is like waiting for me to read a book or become a vegetarian. It is probably not going to happen and if it does don’t expect much of it. What we need to do is make smart decisions based on what the new prices are. Can we afford to pay a little more in rent to create a better experience for our customers? If not then don’t do it. Nothing says we have to buy or move or force a transaction. Hang tight and eventually the right opportunity will come along.
Find a Bubble – I live, work and play in a bubble called Hamilton County Indiana and I could not be more blessed to have been able to find myself here as an adult. Being in a place that may not have many of the problems or distractions that other places have is important to staying on track and finding great opportunities. While I think I could live anywhere and be just fine, why would I not choose a place that is as safe, supportive and stable as Hamilton County. It doesn’t have to be Hamilton County as I have shared but can be any part of town that you have strong a real estate market, both residential and commercial tend to be strong together and many good things come with being near that. Better schools for instance making more people want to buy your home and keeping the prices up. Better roads make it easier to get people to your business and in turn rental rates up. And of course better politics. In places like Hamilton County we squabble over things like where to spend this million or old personal grudges but we aren’t chasing gun laws and violence or daily crime. This only creates a more stable long term business environment and place to be involved in Real estate.
Sit tight – Why is everyone moving? Why do we need bigger or better or newer homes? Do I enjoy making money off of this? Of course I do but one of the causes of the high pricing is the demand. When everyone is doing well and figures out that we can borrow money for 5% and buy the next great house it creates a market that continues to go up. Until we stop making constant moves we will never catch up and drive prices, availability and frustrations into oblivion. Maybe we sit tight for a while and just wait for things to work themselves out. Eventually materials will be more available and if fewer people are needing them the market will adjust pricing. Or better yet, maybe we replace our short term wants for a larger more expensive property with our long term needs of a manageable one we can handle no matter where we are in life. I am not saying stop dreaming or stop improving your lifestyle. I am saying that if we all weren’t trying to do the same thing at the same time we may be in different situation as a market and things may seem a little bit normal.
I am grateful to have the opportunities I have in business and personally and to be able to work in Real Estate no matter what the market is fun. What I want to do is be in control whether it is figuring out what is coming and being prepared or sitting tight and making the right decision long term. There is probably no perfect answer but we can definitely be educated and spend time really thinking things out. If we can ever help you navigate pending real estate issues please don’t hesitate to reach out. We are always glad to help.
Curt has been in the Indianapolis Real Estate business for over 15 years and spent his first years learning all aspects of commercial management and brokerage. He has had great success in managing existing commercial projects and new retail and office developments. Curt specializes in building owner representation and purchases in the Westfield Indiana market as well throughout the Indianapolis Metro area. Curt is passionate about growing the local Westfield community and in his free time volunteers with Student Impact and raising 2 children with his wife Jennifer.