How many are regretting not investing in real estate

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skor99
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How many are regretting not investing in real estate

Post by skor99 »

With the current market conditions, how many of the Bogle heads are regretting not investing in rental real estate ? Property prices do not seem to be affected by the downturn, but the closest proxy to real estate in the stock market (REITs ) are down big time. Thoughts ?
chevca
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Re: How many are regretting not investing in real estate

Post by chevca »

My guess is the real estate market will get hit a little later. Look at the threads about purchasing a house, this all happened, and wondering if they should call it off. Folks will stop buying houses, oh, about now, I'd guess.
onourway
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Re: How many are regretting not investing in real estate

Post by onourway »

Real estate prices will lag behind market prices when things move this quickly. Eventually it will catch up though if there are large numbers of people without or with reduced work. As a landlord I’d have to be worried about college kids pressing for refunds right now and the possibility of many of my tenants defaulting on their rent if they are out of work. Then I’d have to have those difficult conversations. My mutual funds and ETF’s never ask me any questions. The market will come back. :beer
renue74
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Re: How many are regretting not investing in real estate

Post by renue74 »

I'm not sure anybody is...because comparing REI and stock market investing is like comparing a Tesla to a Yugo. (80s fun mobile)

About once every few weeks somebody will bring up real estate as an alternative to market investing...but it's not. I take money I earn and buy houses and rent them to people. They give me money. I pay the expenses of being a landlord and whatever I have leftover I spend or I invest in the market.

It's a job and it comes with a whole set of risks that a lot of people don't want. Risk of getting sued by tenants. Risk of wealth concentration in a very small geographic area. Risk of illiquid capital investment. Risk of buying a dud and pumping in $$$ into fixing it.

We all make decisions. I'm sure a lot of landlords are concerned about the possibility of lower cash flow because tenants can't pay in the coming months or higher vacancy or eviction rates in the future.

It's a risk/reward on every choice we make.
stoptothink
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Re: How many are regretting not investing in real estate

Post by stoptothink »

skor99 wrote: Wed Mar 18, 2020 8:43 pm With the current market conditions, how many of the Bogle heads are regretting not investing in rental real estate ? Property prices do not seem to be affected by the downturn, but the closest proxy to real estate in the stock market (REITs ) are down big time. Thoughts ?
It's about to get really difficult for landlords. My brother found out yesterday that his tenant was laid off and it'll be next to impossible to evict him for a long time.
AlexanderTheMediocre
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Re: How many are regretting not investing in real estate

Post by AlexanderTheMediocre »

renue74 wrote: Wed Mar 18, 2020 8:54 pm I'm not sure anybody is...because comparing REI and stock market investing is like comparing a Tesla to a Yugo. (80s fun mobile)

About once every few weeks somebody will bring up real estate as an alternative to market investing...but it's not. I take money I earn and buy houses and rent them to people. They give me money. I pay the expenses of being a landlord and whatever I have leftover I spend or I invest in the market.

It's a job and it comes with a whole set of risks that a lot of people don't want. Risk of getting sued by tenants. Risk of wealth concentration in a very small geographic area. Risk of illiquid capital investment. Risk of buying a dud and pumping in $$$ into fixing it.

We all make decisions. I'm sure a lot of landlords are concerned about the possibility of lower cash flow because tenants can't pay in the coming months or higher vacancy or eviction rates in the future.

It's a risk/reward on every choice we make.
Well said.
Momus
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Re: How many are regretting not investing in real estate

Post by Momus »

You can't evict tenants now.
chevca
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Re: How many are regretting not investing in real estate

Post by chevca »

True, I hadn't even thought of the tenants and no evictions for who knows how long. Mortgage still has to be paid. Unless that changes temporarily also? Give it a month, if that, and this question would probably be better asked who is regretting investing in real estate.
panhead
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Re: How many are regretting not investing in real estate

Post by panhead »

skor99 wrote: Wed Mar 18, 2020 8:43 pm With the current market conditions, how many of the Bogle heads are regretting not investing in rental real estate ? Property prices do not seem to be affected by the downturn, but the closest proxy to real estate in the stock market (REITs ) are down big time. Thoughts ?
I'll give you a different perspective, I just sold my last rental, a 2 family, in November. I'm thrilled not to have it now. I probably couldn't even sell it now. Not to mention there are talks about not allowing landlords to collect rent for the next few months. Not sure how that would affect the small investor. So, regretting about not investing in real estate? Simply thrilled not to own it in a situation where my tenants can't pay rent and the government will tell me I can't evict. Good luck to the landlords out there!
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Re: How many are regretting not investing in real estate

Post by HEDGEFUNDIE »

For a liquid indicator of how residential real estate is actually doing, take a look at the REZ ETF:

https://finance.yahoo.com/chart/REZ#eyJ ... FydCJ9fX19

-40% since the crisis began.
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Re: How many are regretting not investing in real estate

Post by flaccidsteele »

skor99 wrote: Wed Mar 18, 2020 8:43 pm With the current market conditions, how many of the Bogle heads are regretting not investing in rental real estate ? Property prices do not seem to be affected by the downturn, but the closest proxy to real estate in the stock market (REITs ) are down big time. Thoughts ?
I’m glad I own rentals purchased during the credit crisis when homes were basically free

Real estate untouched during this downturn and providing me with cashflow to invest into it

Win win
The US market always recovers. It’s never different this time. Retired in my 40s. Investing is a simple game of rinse and repeat
Iridium
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Re: How many are regretting not investing in real estate

Post by Iridium »

skor99 wrote: Wed Mar 18, 2020 8:43 pm With the current market conditions, how many of the Bogle heads are regretting not investing in rental real estate ? Property prices do not seem to be affected by the downturn, but the closest proxy to real estate in the stock market (REITs ) are down big time. Thoughts ?
I don't think there is any way to know what the actual value of real estate is right now. There is virtually no way to actually sell for the next few weeks, so any price you put on it is purely hypothetical.

Will be interesting to see what happens to home values in a few months. REITs being down is a strong sign that the market believes that once there are buyers, prices will be a lot lower.

On a related note: I sometimes wonder whether the liquidity of the market freaks people out. The fact that it is up to second and to the penny is anxiety inducing. It feels like with real estate that values can go down by 5% and folks would have the attitude that it is a bit more than a rounding error, even on a house with an 80% LTV mortgage, so their actual equity was down 25%. Whereas even a lot of Bogleheads get jitters if their portfolio goes down 25% (heck, even 5% among some folks). It just seems like the fact that nobody really knows what their house is worth to within a few percent somehow makes price fluctuations easier to swallow.
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Re: How many are regretting not investing in real estate

Post by Sandtrap »

Physical R/E income property is not correlated to the market movements as are REITS.
And, REITS are not directly correlated with the movements of the valuations of physical R/E.
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CoastalWinds
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Re: How many are regretting not investing in real estate

Post by CoastalWinds »

Real estate typically has a lag effect to large stock market drops. For whatever reason, committing to large, highly-leveraged purchases isn’t usually high on one’s shopping list during times of job uncertainty or unemployment.

[OT comment removed by moderator prudent]
Last edited by CoastalWinds on Wed Mar 18, 2020 10:28 pm, edited 1 time in total.
Alan S.
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Re: How many are regretting not investing in real estate

Post by Alan S. »

flaccidsteele wrote: Wed Mar 18, 2020 9:18 pm
skor99 wrote: Wed Mar 18, 2020 8:43 pm With the current market conditions, how many of the Bogle heads are regretting not investing in rental real estate ? Property prices do not seem to be affected by the downturn, but the closest proxy to real estate in the stock market (REITs ) are down big time. Thoughts ?
I’m glad I own rentals purchased during the credit crisis when homes were basically free

Real estate untouched during this downturn and providing me with cashflow to invest into it

Win win
Unfortunately, that car has just slammed into reverse.
Loss of RE value already started and tenant's rent paying ability to be assisted by rent controls and limited eviction powers (both landlord subsidies), but the rent payment by tenants heavily dependent on their job being essential and the flow of Treasury printed dollars being dispensed to tenants in sufficient amounts. As usual with real estate, some locations will fare far better than others.
frugalmama
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Re: How many are regretting not investing in real estate

Post by frugalmama »

I actually feel thankful I did not as I'm not ready to cover the mortgage payments out of my own pocket, especially if we end up in a deep recession. There is a lot of risk there, especially if someone is overleveraged or starts to have their own cash flow problems due to their own job. Things are great when everyone is able to pay...but we are at the tip of the iceberg and haven't actually taken the plunge to see the effects of this all.
crg11
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Re: How many are regretting not investing in real estate

Post by crg11 »

We’ve been looking for a house over the past few weeks. Even put an offer on a house this past Sunday (lost). Our market has been extremely hot, houses lasting at most a week before going pending. We were seeing roughly one house a day show up on the market that matched our basic criteria (price, bedrooms, etc) over these weeks.

Since this weekend, we haven’t see a single house show up on the market that matched our basic criteria. Not one.

It’s been enough days that I am getting a very bad feeling the housing market is about to be impacted. Too many people lost jobs too fast. And those of us left who have jobs have got to be skittish about attempting a move in this environment (I know I am). Too many memories of people losing houses in 2008.

Buckle up.
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Cubicle
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Re: How many are regretting not investing in real estate

Post by Cubicle »

Not I. Because prior to this past month, real estate, at least in my area, has significantly lagged the market. And I expect this going forward.
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MathWizard
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Re: How many are regretting not investing in real estate

Post by MathWizard »

Not me.

I understand stocks and bonds better than the real estate market.
Carpenterant
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Re: How many are regretting not investing in real estate

Post by Carpenterant »

There’s a house for rent a few blocks away from me; I drive past it on my home from work and think, boy, I’m glad I’m not in the owners shoes right now
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Re: How many are regretting not investing in real estate

Post by Nappyloxs »

As more people quarantine, less people will attend showings. Also, less people will be willing to move for one reason or another. Interest rates have actually gone up this month, which will also discourage people thinking it will drop again. By summer time, there will like be more homes on the market than in previous years. This will likely drive down prices. Not to mention all the new builds and fix and flips that want to at least break even. The real estate market will decline in a month or two. Millions of homes that went under contract before the crisis are in the middle of closing, so wait about 15-30 days and see what happens.
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Re: How many are regretting not investing in real estate

Post by Tigermoose »

We have been looking to upgrade to a better area and a bigger house with a bigger yard. No longer. Now we are waiting for home prices to come down at least 20%. I want home sellers to right me a letter begging to buy their home.

Trying to buy a house in SOCAL during a seller's market is highly frustrating. I'm looking for that to reverse and then I'll be looking for that upgrade!
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flaccidsteele
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Re: How many are regretting not investing in real estate

Post by flaccidsteele »

Alan S. wrote: Wed Mar 18, 2020 9:56 pm
flaccidsteele wrote: Wed Mar 18, 2020 9:18 pm
skor99 wrote: Wed Mar 18, 2020 8:43 pm With the current market conditions, how many of the Bogle heads are regretting not investing in rental real estate ? Property prices do not seem to be affected by the downturn, but the closest proxy to real estate in the stock market (REITs ) are down big time. Thoughts ?
I’m glad I own rentals purchased during the credit crisis when homes were basically free

Real estate untouched during this downturn and providing me with cashflow to invest into it

Win win
Unfortunately, that car has just slammed into reverse.
Loss of RE value already started and tenant's rent paying ability to be assisted by rent controls and limited eviction powers (both landlord subsidies), but the rent payment by tenants heavily dependent on their job being essential and the flow of Treasury printed dollars being dispensed to tenants in sufficient amounts. As usual with real estate, some locations will fare far better than others.
My property values will never go lower than what I paid during the credit crisis

Ever

It won’t even be close

Even I can’t get *that* lucky. Twice
The US market always recovers. It’s never different this time. Retired in my 40s. Investing is a simple game of rinse and repeat
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sergeant
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Re: How many are regretting not investing in real estate

Post by sergeant »

Tenants tend not to take good care of rental property when they don't have a job and quit paying rent and can't be evicted. No regrets here.
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FIREchief
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Re: How many are regretting not investing in real estate

Post by FIREchief »

I sold my only real estate holding (my main house) last year and am delighted that I got that done before this current mess. It's really nice to just rent and not worry about where things are heading.
I am not a lawyer, accountant or financial advisor. Any advice or suggestions that I may provide shall be considered for entertainment purposes only.
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Re: How many are regretting not investing in real estate

Post by LilyFleur »

Tigermoose wrote: Wed Mar 18, 2020 10:49 pm We have been looking to upgrade to a better area and a bigger house with a bigger yard. No longer. Now we are waiting for home prices to come down at least 20%. I want home sellers to right me a letter begging to buy their home.

Trying to buy a house in SOCAL during a seller's market is highly frustrating. I'm looking for that to reverse and then I'll be looking for that upgrade!
And when you pay less for the house, you will pay lower taxes, too. It's a good time to purchase a home in California if values go lower. I bought my condo in 2011, so my taxes are very reasonable. And that's a good situation for a retiree.
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Re: How many are regretting not investing in real estate

Post by jharkin »

skor99 wrote: Wed Mar 18, 2020 8:43 pm Property prices do not seem to be affected by the downturn
Its been only a matter of DAYS. Homes cant sell when people are not allowed to go outside, and I bet some percentage of deals in the works will fall though because people will loose jobs and have their financing pulled... or appraisers will spook (no comps, cant calculate a value) and that will kill the deal.

Give it time. No deals to support price appreciation and values will start to drop. Not to mention that options like a national rent payment holiday are being seriously floated by some lawmakers.


.... Sometimes I really miss the 80s when people didn't have such instant access to information.
Last edited by jharkin on Thu Mar 19, 2020 7:54 am, edited 1 time in total.
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tvubpwcisla
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Re: How many are regretting not investing in real estate

Post by tvubpwcisla »

I am a firm believer you should have real estate in your portfolio. Options would be...

REIT
Land
Rental Home
Commercial Space

I like the first two as REIT's are pretty easy to invest in and Land they are not making any more of. Not a big fan of having tenants with potential lawsuits for the bottom two, although they can provide a nice income stream if you don't mind the risk and litigation you will need to go through when the rent check does not come in.
Stay invested my friends.
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Re: How many are regretting not investing in real estate

Post by jebmke »

jharkin wrote: Thu Mar 19, 2020 7:50 am .... Sometimes I really miss the 80s when people didn't have such instant access to information.
I still vividly recall the October 1987 crash. Intra-day info was limited and even daily info was not very helpful in retrospect. My spouse was in the investing business at the time. Over several years, a large part of our equity holdings were in her pension and profit sharing plan that the firm managed. They only issued valuation statements once a year (December 31 valuation).
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barnaclebob
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Re: How many are regretting not investing in real estate

Post by barnaclebob »

I dont have to pay a mortgage on my stocks when they stop paying rent and im legally not allowed to evict them.
nguy44
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Re: How many are regretting not investing in real estate

Post by nguy44 »

My father owned an apartment building for a while. My brothers and I because his work/maintenance crew. After seeing the shenanigans and issues my dad, a very patient man, had to deal with, I decided I did not have the time, patience or temperament to invest in real estate.

For those who invest in real estate, more power to you. Different strokes for different folks.
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Sandtrap
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Re: How many are regretting not investing in real estate

Post by Sandtrap »

In 2009, I had the opportunity to buy several properties:

A 12 unit 2 story apartment building, medium/low range rentals.
A 31 unit apartment rental complex.
An 8 unit 2 story apartment building, medium range rentals.
Several townhouse units in town near the university, medium range rentals, for a song.

A million dollar home selling for a fraction of that, that required 100k++ to restore and reno.

Did not buy the rentals. Shucks!
Bought the home: :D :D

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UpperNwGuy
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Re: How many are regretting not investing in real estate

Post by UpperNwGuy »

I am very happy that I do not own real estate — especially now.
alfaspider
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Re: How many are regretting not investing in real estate

Post by alfaspider »

barnaclebob wrote: Thu Mar 19, 2020 8:18 am I dont have to pay a mortgage on my stocks when they stop paying rent and im legally not allowed to evict them.
This. I can just ignore my stocks and wait for them to return. I can't ignore the mortgage on a property where the tenant isn't paying rent.

The only real shelter in this downturn has been cash. Situations such as this are why I'm glad I keep a substantial cash emergency fund. It may drag my returns on the upswing, but it means I can ride out the downturn without sweating bullets.
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Re: How many are regretting not investing in real estate

Post by flaccidsteele »

barnaclebob wrote: Thu Mar 19, 2020 8:18 am I dont have to pay a mortgage on my stocks when they stop paying rent and im legally not allowed to evict them.
Same. Because the price of real estate during the credit crisis was so cheap they were either paid off outright or within 5 years

And evictions allow someone on my waiting list to move in

Funny that nobody seems to want to skip rent and get evicted to the streets so far

I’m glad I have these cash flow rentals during times like today!
The US market always recovers. It’s never different this time. Retired in my 40s. Investing is a simple game of rinse and repeat
alfaspider
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Re: How many are regretting not investing in real estate

Post by alfaspider »

flaccidsteele wrote: Thu Mar 19, 2020 10:37 am
barnaclebob wrote: Thu Mar 19, 2020 8:18 am I dont have to pay a mortgage on my stocks when they stop paying rent and im legally not allowed to evict them.
Same. Because the price of real estate during the credit crisis was so cheap they were either paid off outright or within 5 years

And evictions allow someone on my waiting list to move in

Funny that nobody seems to want to skip rent and get evicted to the streets so far

I’m glad I have these cash flow rentals during times like today!
Well, if rent is paid on the first of the month, you wouldn't have seen any economic impacts. Most people will probably make rent in April. May rent is where you might start having problems, and you might not be able to evict them for skipping. The waiting list may very well evaporate.
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Re: How many are regretting not investing in real estate

Post by CascadiaSoonish »

Last year we bought a small commercial building to use for owner-occupancy for our business. We move in next month after renovations are complete. Financially, it's a mixed bag. We bought near the top of the market so I expect we'll be upside down for a while until the market recovers. Construction costs are insane. But we would have lost tens of thousands of dollars in value if we had left the building purchase funds in the market. Instead, we're now more diversified and have started seeing the tax benefits. And since we're an owner-occupied commercial property we control the tenant risk.

Right now my partner and I are happy we are more diversified, but I don't expect this investment will pay off for a decade at the earliest.
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Re: How many are regretting not investing in real estate

Post by flaccidsteele »

alfaspider wrote: Thu Mar 19, 2020 11:56 am
flaccidsteele wrote: Thu Mar 19, 2020 10:37 am
barnaclebob wrote: Thu Mar 19, 2020 8:18 am I dont have to pay a mortgage on my stocks when they stop paying rent and im legally not allowed to evict them.
Same. Because the price of real estate during the credit crisis was so cheap they were either paid off outright or within 5 years

And evictions allow someone on my waiting list to move in

Funny that nobody seems to want to skip rent and get evicted to the streets so far

I’m glad I have these cash flow rentals during times like today!
Well, if rent is paid on the first of the month, you wouldn't have seen any economic impacts. Most people will probably make rent in April. May rent is where you might start having problems, and you might not be able to evict them for skipping. The waiting list may very well evaporate.
Good luck with that prediction

I’m going to bet that rent will arrive as per usual and my waiting list stays long

I hope you keep your job and pay your mortgage on time
The US market always recovers. It’s never different this time. Retired in my 40s. Investing is a simple game of rinse and repeat
alfaspider
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Re: How many are regretting not investing in real estate

Post by alfaspider »

flaccidsteele wrote: Thu Mar 19, 2020 12:58 pm
alfaspider wrote: Thu Mar 19, 2020 11:56 am
flaccidsteele wrote: Thu Mar 19, 2020 10:37 am
barnaclebob wrote: Thu Mar 19, 2020 8:18 am I dont have to pay a mortgage on my stocks when they stop paying rent and im legally not allowed to evict them.
Same. Because the price of real estate during the credit crisis was so cheap they were either paid off outright or within 5 years

And evictions allow someone on my waiting list to move in

Funny that nobody seems to want to skip rent and get evicted to the streets so far

I’m glad I have these cash flow rentals during times like today!
Well, if rent is paid on the first of the month, you wouldn't have seen any economic impacts. Most people will probably make rent in April. May rent is where you might start having problems, and you might not be able to evict them for skipping. The waiting list may very well evaporate.
Good luck with that prediction

I’m going to bet that rent will arrive as per usual and my waiting list stays long

I hope you keep your job and pay your mortgage on time
I'm not predicting anything, just highlighting that the risk is there. It may or may not come to pass. You've clearly already made your bet by putting your money in.
Dave55
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Re: How many are regretting not investing in real estate

Post by Dave55 »

skor99 wrote: Wed Mar 18, 2020 8:43 pm With the current market conditions, how many of the Bogle heads are regretting not investing in rental real estate ? Property prices do not seem to be affected by the downturn, but the closest proxy to real estate in the stock market (REITs ) are down big time. Thoughts ?
No regret, no interest in being a landlord.

Dave
bberris
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Re: How many are regretting not investing in real estate

Post by bberris »

HEDGEFUNDIE wrote: Wed Mar 18, 2020 9:15 pm For a liquid indicator of how residential real estate is actually doing, take a look at the REZ ETF:

https://finance.yahoo.com/chart/REZ#eyJ ... FydCJ9fX19

-40% since the crisis began.
Now you've gone and shattered the illusion created by a lack of second-by-second trades.
retire2022
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Re: How many are regretting not investing in real estate

Post by retire2022 »

Op

I am a 34 year old real estate professional and two time homeowner. I hate tenants and landlords equally and prefer equities 93/7 bonds.

that being said see link, everything in this long thread would explain why equities and bonds are better. viewtopic.php?f=2&t=269901&newpost=5109622
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Cheez-It Guy
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Re: How many are regretting not investing in real estate

Post by Cheez-It Guy »

Regret not investing in real estate? Nope!
GCD
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Re: How many are regretting not investing in real estate

Post by GCD »

skor99 wrote: Wed Mar 18, 2020 8:43 pm With the current market conditions, how many of the Bogle heads are regretting not investing in rental real estate ? Property prices do not seem to be affected by the downturn, but the closest proxy to real estate in the stock market (REITs ) are down big time. Thoughts ?
Hmmm, I guess it depends where you buy your rental real estate. California and some Californian cities are talking about an eviction ban for the duration of the Corona Crisis. Think they'll also have a fund for landlords to pay their taxes, utilities, repairs etc. in lieu of the rent money they were supposed to collect?

But I own a big house on leverage, so that's enough local real estate exposure for my taste, thanks.

Also, I'm retired and don't want a job.
dboeger1
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Re: How many are regretting not investing in real estate

Post by dboeger1 »

One thing I find odd is that many people call buying 1 or 2 homes investing in real estate. That's like calling buying shares in a single micro-cap local penny stock investing in the stock market. I suppose it technically qualifies, but the investment is highly localized and concentrated in nature, as opposed to diversified. I personally wouldn't label myself a real estate investor until I owned at least 2 properties other than my primary residence, and for many people, that's out of the question, as it takes them much of their careers to own their primary residence outright, if they ever do at all. 1 rental property is basically the corporate equivalent of a startup in your garage.
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HomerJ
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Re: How many are regretting not investing in real estate

Post by HomerJ »

skor99 wrote: Wed Mar 18, 2020 8:43 pm With the current market conditions, how many of the Bogle heads are regretting not investing in rental real estate ? Property prices do not seem to be affected by the downturn, but the closest proxy to real estate in the stock market (REITs ) are down big time. Thoughts ?
People in trouble don't even have to pay rent, and you can't foreclose on them...

I'm not sure real estate is the answer.
A Goldman Sachs associate provided a variety of detailed explanations, but then offered a caveat, “If I’m being dead-### honest, though, nobody knows what’s really going on.”
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AerialWombat
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Location: Cash Canyon / Cashville

Re: How many are regretting not investing in real estate

Post by AerialWombat »

skor99 wrote: Wed Mar 18, 2020 8:43 pm With the current market conditions, how many of the Bogle heads are regretting not investing in rental real estate ? Property prices do not seem to be affected by the downturn, but the closest proxy to real estate in the stock market (REITs ) are down big time. Thoughts ?
The entire premise of your question in inherently flawed, in ways other posters have already pointed out.

My rental properties have people living in them. Those people have jobs, that gives them a paycheck, from which they pay rent, from which I pay mortgages. Break that chain anywhere along the line, and things get rough for ME as the real estate investor really, really quickly.
flaccidsteele
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Re: How many are regretting not investing in real estate

Post by flaccidsteele »

alfaspider wrote: Thu Mar 19, 2020 1:00 pm
flaccidsteele wrote: Thu Mar 19, 2020 12:58 pm
alfaspider wrote: Thu Mar 19, 2020 11:56 am
flaccidsteele wrote: Thu Mar 19, 2020 10:37 am
barnaclebob wrote: Thu Mar 19, 2020 8:18 am I dont have to pay a mortgage on my stocks when they stop paying rent and im legally not allowed to evict them.
Same. Because the price of real estate during the credit crisis was so cheap they were either paid off outright or within 5 years

And evictions allow someone on my waiting list to move in

Funny that nobody seems to want to skip rent and get evicted to the streets so far

I’m glad I have these cash flow rentals during times like today!
Well, if rent is paid on the first of the month, you wouldn't have seen any economic impacts. Most people will probably make rent in April. May rent is where you might start having problems, and you might not be able to evict them for skipping. The waiting list may very well evaporate.
Good luck with that prediction

I’m going to bet that rent will arrive as per usual and my waiting list stays long

I hope you keep your job and pay your mortgage on time
I'm not predicting anything, just highlighting that the risk is there. It may or may not come to pass. You've clearly already made your bet by putting your money in.
No longer

Houses purchased during the credit crisis have been paid back multiple times over. They’re free. And so is the rent

I’m now putting the revenue into this market

I still wish that you keep your job so you can stay current on your mortgage. I don’t wish hardship on anyone
The US market always recovers. It’s never different this time. Retired in my 40s. Investing is a simple game of rinse and repeat
oldfort
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Re: How many are regretting not investing in real estate

Post by oldfort »

Unless you're invested in REITs or something like TREA, all real estate prices are local.
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HomerJ
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Re: How many are regretting not investing in real estate

Post by HomerJ »

flaccidsteele wrote: Thu Mar 19, 2020 6:49 pmI still wish that you keep your job so you can stay current on your mortgage. I don’t wish hardship on anyone
Maybe you could stop crowing on these boards how awesome you are... That's a form of hardship too.

Maybe some details would help. Which rental properties do you own, price, size, and which state, and how have picked renters that absolutely won't lose their jobs and stop paying rent?

(Your waiting list is worthless if you're not allowed to evict).
A Goldman Sachs associate provided a variety of detailed explanations, but then offered a caveat, “If I’m being dead-### honest, though, nobody knows what’s really going on.”
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