Home foreclosures first quarter are 35% higher than in 2009. Appears the nation is on track for 1 million foreclosures in 2010.
How can there be a silver lining in that? There certainly isn’t for the people displaced. But for those in businesses that benefit from meetings those foreclosures represent opportunities.
Financial institutions are increasing meetings as they look for ways to divest these assets. Whether it’s meeting with a group of realtors, or potential investors, or companies to handle advertising, maintenance on the assets, etc.
There is plenty of money available to invest. So far, major investment groups have been watching for commercial assets. Commercial Backed Mortgage Securities (CBMS) hold many, if not most of the desirable commercial real estate assets. CBMS are very, very complex. They normally cover a number of assets, so unraveling them and preparing individual assets for sale takes a long time.
I doubt the groups with large cash holdings will be interested in residential real estate. However, some of the smaller groups may decide they can pick up groups of homes, rent them out, and then sell them in several years when real estate market conditions improve.
What businesses may have needs for your hotels? Mortgage companies, residential real estate companies, landscape and home maintenance companies, insurance companies, security companies, CPA’s, small and mid-sized banks and financial institutions. Call on them to see what their needs are. Listen and get creative in ways to gain business from them.
