Implementing data science in the real estate sector optimizes the customer’s search and provides them with recommendations that fit their criteria. Similarly, data is also helping real estate investors and organizations cut costs, improve productivity, and make the right decisions. Collection and analysis of data is helping investors, realtors, and buyers in assessing the risks and uncovering great investment opportunities.
What Is Commercial Real Estate Data?
Commercial real estate market data includes all the important information like the building or property size, location, financial data, zoning laws, market analysis, and ownership and resident or renter data. A commercial property database also includes details pertaining to consumer demographics, customer behavior, lender data, predicted trends in the commercial real estate space, future developments and a lot more. Using commercial real estate information, investors can forecast their property’s health and financials. The more real-time information they get, the better are their prospects of making the right decisions regarding renting, purchasing, selling etc.
Types Of Commercial Real Estate Data
Commercial real estate tracking includes the following dataset points:
Commercial Property Data
This includes information regarding an asset type, its location, building size, number of units, zoning, lot size etc.
Transactional Data
Critically important for investors, appraisers, banks and brokers, transactional data is used to help understand the past and current value of a property and also its potential return on investment. This data shows whether the property will be a good purchase or a bad investment.
Ownership Data
One of the most basic commercial real estate data, ownership data gives you information about the past and current owners of a property. It is important for anyone who wants to buy or sell that property.
Commercial Mortgage Loan & Lender Data
Important for lenders and brokers, commercial loan data regarding debt history, lender history and mortgage amounts work as a window into the past and present debt associated with a commercial parcel or property.
Commercial Renter Data
Useful for leasing brokers, this data has all the information regarding the current and past tenants, and details about their lease expirations.
Market Data
One of the most important pieces of information that any commercial real estate data aggregator can give you, this one includes statistics relating to the cost of property on the market, the types of returns, whether a property can be redeveloped, and the reasons for investing in that particular commercial property.
Commercial Real Estate Data Sources
Wondering where you can find all the above data? Following are a few commercial real estate data sources:
Public Records:
One of the best sources for searching for information, a municipality’s public records can give you information regarding:
- Building permits
- Registry of deed
- Court records
- Zoning
Brokerage Reports:
Many brokerage firms publish quarterly reports that include tenant data, market data and contact information. These reports are generally free and also have information regarding predicted market trends, major upcoming transactions and a lot more.
Commercial Real Estate Associations:
There are several Commercial Real Estate Associations such as ICSC (International Council of Shopping Centers), SIOR (Society of Industrial and Office Realtors), CREW Network (Commercial Real Estate Women), CCIM Institute (Certified Commercial Investment Member), and ULI (Urban Land Institute). If you sign up for a membership of any of these associations, you’ll get to network, get insights into the current happenings, and share market expertise with others.
Legal Notices:
Paying attention to the legal notices in your local newspapers and new outlets will give you information regarding pre-foreclosures and foreclosures.
Why Is Commercial Real Estate Data Tracking Important?
Commercial real estate tracking can help you tackle problems related to miscommunications, dissatisfied renters, inefficiency in managing the properties, and budget waste, to name a few. With data in hand, you can start identifying and addressing the weaknesses in your operations. With its help, you’ll soon be taking your investments to greater heights.
Trevor Henson
Trevor Henson is an experienced entrepreneur (10+ highly-successful start-ups) and property investor with a demonstrated history of building and leading teams in investment property management environments, maximizing returns for property owners, and optimizing properties through construction management and re-positioning. He…Learn more about how we can help. Customized solutions for large portfolios!