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How will the credit crunch affect real estate sales in the US?

There is a piece of good news for the small business owners who are involved with ‘owner-occupied commercial real estates’. There is a very less chance that the credit crunch will affect real estate sales in the United States.

It has also been seen that the credit crunch is influencing homeowners and is not just affecting ‘commercial real estate loans’. According to Chris Pettersen, Vice President of U.S. Bank, SBA division, “The residential lending downturn has had no impact on SBA commercial real estate financing”.

For the small business owners, commercial real estate can be a solid investment.

This particularly possible if the area, for a considerable period of time, had been experiencing low ‘commercial vacancy rates’ and ‘low interest rates’. Commercial real estate has long been strong in Ventura County, either going up or holding its value since 1996, Pettersen said.

Much in contrast to the ‘residential lending market’, there has been no requirement for commercial real estate lenders to alter their credit parameters. Investing in real estate business condominiums allows small businesses to obtain facilities that conform to their needs, especially since the experts feel that the credit crunch will not affect real estate sales in the United States.