Real estate professionals say there’s a disconnect in the market as buyers ‘smell blood in the water’ while sellers cling to ‘unrealistic valuations’
Buyers smell blood in the water as distressed commercial properties are put up for sale. But so far, sellers of that troubled real estate are refusing to accept rock-bottom values.
Still, real estate pros say there’s a disconnect between buyer and seller expectations. If the two sides start to come together, the number of transactions could boom – particularly as defaults are expected to increase. More troubled properties are expected to hit the market as real estate companies struggle with higher borrowing costs and miss their loan payments. Lenders are losing confidence and are increasingly pushing their borrowers’ projects into receivership.
That compares to 143 real estate and construction receiverships last year, according to the data. That was up from 108 in 2019, before construction and borrowing costs soared. “It’s going to keep us busy for some time,” he said. “We’re going to see an increase. When is it going to bottom out? I wish I knew.”
Minto has also been pitched on two residential developments sites in the Vancouver area; a redevelopment in Surrey, B.C.; a townhouse subdivision in Simcoe, Ont.; vacant land and residential sites near Victoria; vacant land with architectural and landscape drawings in Langley, B.C.; and a plot of land in Hagersville, Ont.
Brokers say they have to canvass more buyers and work harder to convince a potential buyer to consider a troubled asset. Then, the buyer is not willing to pay close to what the creditor envisions, and lenders are not willing to slash prices and lose money.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
The Reasons Real Estate Receiverships And Insolvencies Keep HappeningMarlon Bray is the EVP at Clark Construction Management, a company focused on getting projects built and putting clients first; this role follows over 20 years as a Quantity Surveyor working on a portfolio in excess of 5,000 projects of every asset type.
Read more »
Receiverships soar, putting distressed commercial properties on marketReal estate professionals say there’s a disconnect in the market as buyers ‘smell blood in the water’ while sellers cling to ‘unrealistic valuations’
Read more »
Receiverships soar, putting distressed commercial properties on marketReal estate professionals say there’s a disconnect in the market as buyers ‘smell blood in the water’ while sellers cling to ‘unrealistic valuations’
Read more »
Distressed real estate sales rise, but often, potential buyers find the price isn’t rightReal estate professionals say there’s a disconnect in the market as buyers ‘smell blood in the water’ while sellers cling to ‘unrealistic valuations’
Read more »
Man Feeds Onions To 10YO Despite Ex's Warning That They'll Make Her 'Smell Bad'Wife calls ex-husband spiteful after he gives onions to their daughter as she thinks they will make her smell bad and might get her bullied.
Read more »
Stop and smell the sunflowers: Lambton County fields bloom for boy taken by leukemiaSunflowers are in bloom at 7184 Lakeshore Rd., in Lambton Shores in memory of two-year-old Max Rombouts who died of Leukemia in 2019, with other fields set to bloom nearby in coming weeks.
Read more »