Current local growth data effect on Real Estate Portfolio Optimization is constantly changing and growing. Growth Maps specializes in census block group real estate data with current local information and advanced real estate technology for professional real estate investors. How do you optimize your portfolio and which properties do you sell before any major decline, and which local markets will be the fastest growing in the next few months? Without current local data at the Block Group and Census Tract levels, the answer is just a wild guess, but soon real estate portfolio optimization will be common, once the Growth Maps technology is fully available for real estate portfolio optimization and local real estate analysis.
Lenders who use Growth Maps will have a considerable advantage over their competition and an increased ability to price their portfolios for maximum profit and liquidity.
Some of the direct benefits to lenders using Growth Maps real estate information and new technology include
- Determine and accept only loans that add value to the portfolio
- Increased liquidity because of enhanced underwriting abilities
- Reduced risk of underwriting bad loans that can lower revenues, stock prices, etc.
- Increased corporate strength and public perception
To better understand how Growth Maps can help lenders in real-life situations, let’s look at a specific map and underwriting scenario and real estate portfolio optimization.
Scenario: An investor wants to buy a rental property but only wants to put 5% down. The investor has an above-average credit rating and good payment history. With foreclosure rates rising and more former homeowners forced to rent, it would make sense that vacancy rates would be lower and rent should be increasing as supply is absorbed. However, with increased pressure to underwrite more profitable loans during the current market correction, a lender needs the most accurate value determination and forecast data possible.
Jobs and profits depend on it.
What Local Real Estate Portfolio Optimization Strategy would and will get the optimized and most profitable results? Fortunately, Growth Maps can provide this real-time information and give a lender the confidence they need to make the best loan decision possible in ALL local market conditions.
Real estate in 2019 and Corporate Real Estate 2020 and the Real Estate Portfolio Management Definition still is not optimized for local decisions.
Just as is the case with the real estate professional, a lender will be able to use the most relevant search criteria possible when using Growth Maps in order to get the clearest picture of potential price movements. For the above scenario, the lender would create two or more Growth Maps technology using the twelve or twenty four month forecast, to see the short and long-term trend for the area.
The forecast maps tell the lender what the lending risk is in every Census Block Group.
Real Estate Portfolio Optimization and Real Estate Investors
For real estate investors, the availability of loose money is a great a temptation, especially for those with the latest real estate technology and access to local real estate growth and leading economic indicators.
What Real Estate Portfolio Optimization works?
Some smaller, private investors have folded due to carrying costs on properties they built then could not sell. The trick is to have access to the latest local growth data and real estate trends, so you never make an unwise investment choice ever ever again.
With better real estate portfolio optimization and technology, the investment in real estate, is a click away. For more information, download your FREE eBook titled: “What’s Next for Commercial Real Estate Technology: Leveraging Technology and Local Analytics to Grow Your Commercial Real Estate Business”
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