SHERMAN OAKS, Calif.--(BUSINESS WIRE)--Woodbridge Wealth, an alternative financial solutions firm that creates opportunities for financial advisors, family offices, and high net-worth individuals, today announced its Q2 Market Analysis, which examines the impact of private lenders on commercial credit in 2017. The report also provides a recap of economic news that affected the commercial real estate market in Q2 2017.
“It’s important for our clients to be aware of the role private money has played in the trends within today’s commercial real estate sector,” said Dayne Roseman, Managing Director of Woodbridge Wealth. “Private lenders took a greater prominence following the financial crisis, but even as the economy continues its recovery, there’s no sign of them going away anytime soon.”
The report analyzes the shift from traditional, U.S.-based commercial lenders to private ones, such as insurers, venture funds, hard money lenders, and real estate developers. It also examines the potential downsides of the proliferation of foreign private lenders. While regulation changes and rising interest rates may make commercial credit more widely available in Q3 and Q4 2017, the report forecasts that private money will continue to play a significant role.
Q2 Financial Headlines Point to Economic Growth
The report also details the impact major events of Q2 had on the commercial real estate market:
- The Fed rate hike in June indicates the Fed’s continued confidence in the strength of the U.S. economy, and while it may cause borrowing rates to increase, it could also create a more favorable lending environment.
- The Financial Choice Act that passed the House in June likely won’t make it through the Senate, but some aspects could replace Dodd-Frank, particularly those that restrict community banks and credit unions.
- U.S. Economic Statistics also indicate a strengthening economy, as Gross Domestic Product (GDP) growth picked up in Q2, and the unemployment rate continued to trend downward in April and May.
China as a Driver of Real Estate Development
Lastly, the report details the role of international money in U.S. real estate, using China as a case study. Due to reform actions introduced by the Chinese government, both institutional and individual investors have looked overseas for real estate opportunities, especially in coastal cities like New York, San Francisco and Los Angeles. In some cases, foreign investors have facilitated developments where U.S.-based commercial lenders haven’t.
To download the Woodbridge Wealth Q2 Market Analysis, please visit http://www2.woodbridgewealth.com/q2.
About Woodbridge Wealth
Woodbridge Wealth is an alternatives financial solutions firm that creates opportunities for advisors, family offices, and high-net-worth individuals. The management team at Woodbridge Wealth has more than three decades of industry experience and has closed more than $1 billion in financial transactions. It helps countless clients realize strong returns with lower-risk products without the burden of long-term commitments.
