‘Motivated sellers’ are creating buyer opportunities in H1 ’23

Motivated sellers are creating opportunities in 2023 according to Cromwell Property Group head of investment management Andrew Creighton.

“We’ve certainly seen that in the last quarter of 2022 and I think that will continue into 2023 as we see more stress from sellers needing to sell. I think we will certainly be as active, if not more so, in the first half of 2023,” he said.

The last quarter of 2022 saw more opportunities going through Cromwell’s investment committee than in the previous the three quarters.

“That’s simply a reflection of how far the market has moved, and how quickly the market has moved, to the point where you can say with some confidence that the market is bottoming out,” he said, while emphasising that the precise timing is difficult to call as the market bottoms out.

“As long as you’re a medium-term holder of real estate you know you can afford to do that. I think at this moment in time the market is quite thin, there aren’t many buyers, and although there haven’t been that many sellers either, those out there are sellers for a reason.”

Debt finance that needs to be repaid or funds coming to an end are two of the common motives, he said.

Please click on the video above to watch the full interview or listen to the podcast below.