Commercial Real Estate Newsroom

Government Stimulus Package Would Have Positive Effect on Commercial Real Estate

A large part of the government’s stimulus package is mostly related to the housing sector and homeowners.  Some analysts think that this plan will indirectly benefit the commercial real estate market.

This week the stimulus package took a major push toward being passed into law in the Senate.  Majority Leader Harry Reid stated that the congressional house has moved closer today on an agreement on the type of benefits that would be offered to the American people.  The majority leader stated the Senate would have to hold another round of discussions.  Mr. Reid also stated that the bill should be passed sometime in mid-February before congress goes on break.  The National Association of Realtors, says the current outline to save the housing market, would spill over into the commercial real estate market eventually. 

“Financing packages and loans allocated for commercial real estate is starting come to an end”, the director for the National Association of Realtors, told CPN today. “By adding monetary funds to the market, it will help not just the average working class, but it will compile funds to the investment market for commercial endeavors, as well. Under this plan there are more funds available for projects.” Another condition would also ultimately affect the commercial real estate sector, if it was written as a part of the plan. “The approach the stimulus package as intended now, there are no loan limits,”   The Director said. “Because financing is greater than the maximum of what Fannie Mae and Freddie Mac will underwrite, homeowners, including multi-occupant property owners, pay higher loan costs.