There is a ton of negative news in real estate. Interest rates are remaining high, inventory is rising substantially, prices are coming off their peaks, commercial real estate is facing a reckoning, and the list goes on. Regardless of all the negative news, where are the opportunities? Is now the time to jump in to buy? What are the 4 property types that will outperform in any cycle? (hint above is one of my real estate purchases)
Lots of negative real estate news
It is hard to escape, there is a ton of negative news on real estate. Anywhere you look all signs are pointing to a correction as interest rates remain almost double their lows, inventory is rising, and the labor market is starting to soften. Even though real estate is in the dumps are there opportunities? Is now the appropriate time to jump back in the market?
What are the 4 best property types in any cycle?
I’ve been in real estate a long time and experienced countless up and down markets which helped me develop the list below of the best real estate to invest in regardless of the cycle
- Small light industrial: regardless of the cycle, you can always lease a small industrial space under 5k feet. There are a multitude of tenants that are always looking for small industrial space regardless of the economic cycle. A good example is an industrial condo of 3k feet with a small office and a drive in door, the tenants are endless from plumbers, granite fabricators, various service industries, etc…
- Elite resort real estate: real estate in very elite areas, think Aspen, Telluride, etc… will always have demand and it is nearly impossible in many markets to build more. High end resort real estate might hiccup during a correction but over the long haul, the downside risk is minimal.
- Small office: The market is very down on office, but there is a big distinction between a 100k foot class c office and a 1500 square foot small office. There is tons of demand from small businesses like attorneys, dentist, etc… for smaller space. Even in a recession the small office sector should outperform others. I bought a distressed office building for my business (that is the pic above).
- Suburban affordable houses: On the residential side, there will be a correction in prices, but affordable suburban houses in good school districts will continue to be desirable rentals. Prices likely will correct in a downturn but over a long period suburban houses in great locations will outperform many other ares.
The above list is in order and in the upcoming cycle there should be opportunities in each of the categories above.
2025 is a challenging year, but filled with opportunities
Although the ceiling is not falling in real estate, we are clearly entering a new phase. I know it is easier said than done in a tumultuous market but it is critical to remember that with every cycle there are winners and losers. Distress is just beginning to creep into the real estate market which will ultimately create huge opportunities if you know where to look and you are liquid to take advantage of the opportunities. My recommendation is to focus on the areas above, but also note there could also be other opportunities outside the list above at the right price points.
- https://www.wsj.com/business/retail/walmart-tariff-raising-prices-economic-impact-714c10fd
- https://www.fairviewlending.com/why-are-mortgage-rates-rising-when-they-should-be-falling/
- https://fred.stlouisfed.org/series/MORTGAGE30US
- https://www.fairviewlending.com/2025-mortgage-rate-predictions/
- https://www.fairviewlending.com/why-are-mortgage-rates-high-2025/
- https://coloradohardmoney.com/2025-best-colorado-ski-real-estate/
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Glen Weinberg personally writes these weekly real estate blogs based on his real estate experience as a lender and property owner. I’m not an armchair reporter/writer. We are an actual private lender, lending our own money. We service our own loans and own commercial and residential real estate throughout the country.
My day job is and continues to be private real estate lending/ hard money lending which enables me to have a unique perspective on the market. I don’t accept any paid sponsorships or ads on my blog to ensure accurate information. I’ve been writing this for almost 20 years and have over 30k subscribers. Please like and share my blogs on linkedin, twitter, facebook, and other social media and forward to your friends . I would greatly appreciate it.
Fairview is a hard money lender specializing in private money loans / non-bank real estate loans in Georgia, Colorado, and Florida. We are recognized in the industry as the leader in hard money lending/ Private Lending with no upfront fees or any other games. We fund our own loans and provide honest answers quickly. Learn more about Hard Money Lending through our free Hard Money Guide. To get started on a loan all we need is our simple one page application (no upfront fees or other games).
Written by Glen Weinberg, COO/ VP Fairview Commercial Lending. Glen has been published as an expert in hard money lending, real estate valuation, financing, and various other real estate topics in Bloomberg, Businessweek ,the Colorado Real Estate Journal, National Association of Realtors Magazine, The Real Deal real estate news, the CO Biz Magazine, The Denver Post, The Scotsman mortgage broker guide, Mortgage Professional America and various other national publications.
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