From Queens Business Today:
OBSERVATIONS FROM THE PAST FOR 2007
by JOHN MALTZ, SIOR, President, Greiner-Maltz
A TERRIFIC YEAR AWAITS
Our customers, our clients, the professionals we deal with every day, and our over 50 years of being in business, all point to one conclusion, that 2007 is going to be a terrific year.
Oh good, I can't wait to read why.
CREATIVE DESTRUCTION: NEW YORK CITY’S KEY TO GROWTH
The biggest difference between the rustbelt scenario and the continued vibrancy of the New York City Commercial Markets: Strong, relatively healthy industries are destroyed for even stronger industries.
Huh? This is good or bad? You lost me there.
KICK IT UP A NOTCH
A closed transaction requires a negotiation conducted by a broker who can anticipate and thereby provide for the varied exigencies of a transaction. To reach that level of expertise, brokers that are having problems closing transactions today are going to have to “kick it up a notch.”
Care to tell us how?
THE ETHICS OF REAL ESTATE
Every profession appears to have a slogan which sums up its ethical responsibilities to the public. The medical profession has “Do no harm.” For the real estate brokerage community I believe it should be “Full disclosure.” The brokers at Greiner-Maltz now that this is one of the two “go to” principles whenever a brokerage problem arises.
Shouldn't this principle be employed before there is a brokerage problem?
What's the second of the two principles?
HOW TO LIVE WITH REAL ESTATE RISK
In summary, interest rates are at historical lows and lenders are flooding the market with available cash. This supply picture, coupled with the evident risk of incalculable external events, has caused me to advise my clients who have asked me “to finance or not to finance?” with a single answer… Yes!
THE KEY TO NEGOTIATION: ANTICIPATION
Negotiations are never fair. One side always has an advantage. Surprisingly though, those with the stronger hand seldom know it!
Thanks for those lead-ins. Now where's the rest of the explanation?
BRING BACK THE CLOTHESLINE
No need to continue the math for the thousands of communities securely tied to the grid, the solution to brown-outs may very well be white wash on clothes lines in everyone’s back, side or front yards.
You mean hang clothes out to dry instead of using a dryer? Wow! Why didn't we think of this?
THE SEEDS OF A RECESSION
The seeds of a market recession generally are planted, but go unnoticed, in every expansion. This boom is no different. While a stock market bubble can implode in a matter of days, typically real estate markets take years to fully correct. A warning sign, which is beginning to become more apparent are resales where the purchaser’s motivation is simply to buy into further market appreciation rather than making a sound investment. However, barring any external event, real estate markets can expand for years with prices becoming ever more inflated. It is very hard to pick a top in any market.
Does anyone have a clue as to what this guy is talking about? Do you think he does?