5 at 5: Your Daily Digest for Real Estate Investing, 1/27/21
Interest in home buying continues to grow, top-of-the-line shopping malls are depreciating, six CRE assets to buy this year, Biden’s Executive Orders and the skyscraper business are rising.
In today’s news
COVID-19 continues to affect home purchase plans
After the COVID-19 pandemic, more Americans are interested in buying homes, according to the National Association of Home Buyers (NAHB).
Why It Matters: The NAHB report released today states that 15% of American adults plan to buy a home within 12 months. That’s a lot of potential buyers who can bring a hot market to a boil.
Top tier mall scores have fallen 45% since 2016
The real estate analysis firm Green Street estimates that the values of the so-called A-rated shopping centers have fallen by around 45% compared to 2016.
Why It Matters: In this report, CNBC notes that A-rated shopping malls are a key indicator of the retail real estate industry as they make up most of the mall in the US, despite only making up about a quarter of the country’s 1,000 malls .
Six CRE assets available for purchase this year
Here are seven types of CRE assets that will pay off this year, from acquiring emergency loans to raising capital as a shadow lender.
Why It Matters: This GlobeSt.com [subscription required] A CRE consultant’s list includes some specific strategies and approaches to capitalizing on what may be extraordinary investment opportunities right now.
Today on Millionacres
How Biden’s Orders for Affordable Housing and Private Prisons Might Affect Investors
Two of the new president’s first executive orders end new federal contracts for privately owned prisons and instruct the HUD to see what needs to be done to reverse the Trump administration’s policies that may have undermined fair housing policies and laws .
Why It Matters: Millionacres’s Maurie Backman reviews what these two commands could mean and notes that this may just be the beginning.
Going on: 2021 looks like a good year for skyscrapers
After a relative lull in 2020, global completions of tall towers are expected to pick up again this year. Eighteen of the 30 buildings more than 200 meters in length due to be completed this year are in China.
Why It Matters: The two tallest ones completed in 2020 were in New York City and the sixth tallest in Chicago. Office, residential, and hotel space are included in these projects, and investor confidence in them could be rewarded with a recovery from the pandemic.