Probably one of the most famous quotes in real estate is, “Location, Location, Location.” It has been drilled into our heads for years and probably since you first looked at buying your first piece of real estate.
In my time in commercial real estate I couldn’t agree more with that phrase, except that over the years, I’ve learned that I would add one word to the phrase: Timing. Timing is everything.
I’ve seen multiple people pass on downtown office buildings being sold at $10-$20/sf because they thought the CBD market would never come back. Wow. Has it ever come back. Timing.
I’ve seen plenty of Landlords pass on tenants that the second, third, and fourth tenant offers a similar or worse deals than the previous tenant that the Landlord will then accept. Timing.
I’ve seen more than a handful of 1031 exchange clients second-guess identifying specific properties because they refuse to accept the market will be as active and aggressive as it seems. The decide to wait to identify and those opportunities then go into contract. Timing.
Our role as Realtors is to provide the best advice we can to our clients and to set realistic expectations for what they would like to try to accomplish with their real estate in the current market. I always explain that in addition to location, they must also be aware how “timing” will factor into their outcomes as well.