A look at where we are at
Call this a real estate market report if you will. Or a glimpse at the news (with eyes squinted closed)
Real estate friends, how are you doing? Like, really? It’s not like the news are a feel good show these days … open any newspaper, magazine or blog or switch on the radio or TV and you might want to crawl straight into a hole or at least pull your blanket up way past your eyes. Between a new viral infection (a pandemic in a pandemic, you must be kidding me), a still raging war, heat waves, mass shootings and inflation, even this list looks like straight out of a disaster movie (or five). I don’t know what to tell you, really … suffice to say, no little (or bigger) bit of pop culture news stands any chance to really break through this particularly hectic newscycle - nor should it really. What even is going on out there in the lighter, softer parts of the world? Sure, the new Top Gun movie with the never-aging Tom C. (which I am going to see in a few days, so guess we can talk about that next week?) and the beginning of summer, which always brings levity and some celebrity related vacation things … but really, not much happy news out there currently, no?
I am sad to report that the same rings true for all things real estate. I mean, sure, if the stock market tanks and inflation eats all of your money, property is still a stellar investment. But on a more micro level, the news about real estate have been, well, intense, these last couple of weeks as well. So a good time to move away from some of the more fundamental things we’ve covered in the last editions and look at “the market”. What the f** is actually happening right now? Let’s get to it.
We have established that prices for real estate are soaring in big cities, which means we know it’s time to look beyond and get creative about our investment strategy. That’s where investment pros look to the ABBA strategy. And before you start humming “Gimme, gimme, gimme” in your head … What’s meant is actually simple: In A cities, invest in B locations - whereas in B cities, only A locations will get you the optimal risk / reward relation. Good tip and easy to remember.