It's pretty clear that there will be tax increases in the future for investors and wealthy individuals. While we know that what the candidates are proposing could change, we know that tax rates are likely to rise.
What does that mean for commercial real estate? Time to get moving! A transaction that closes this year will result in lower capital gains taxes for sellers than they would be likely to get in 2013. Buyers should be motivated to buy now, since they are likely to be able to get a better price if they are able to close by the end of this calendar year.
As we all know by now, it takes a lot longer and is a lot more difficult to close than it was in the good old days. Therefore, even though we've just passed Labor Day, time is of the essence now. If you want to make sure that you close on a transaction this year, you'd better be watching the calendar closely, and not letting time pass while you ponder an offer. It could cost you money in the near future.