Is Anyone Bullish Real Estate?

[IanMacQuaide]

I own 2 little SFH's in a town north of Houston.
Both cost me 38K each. I"m getting $875 a month on the larger one, and $800 on the smaller one.
I'm very happy.

 

[QQQBALL]

Quote from IanMacQuaide:

I own 2 little SFH's in a town north of Houston.
Both cost me 38K each. I"m getting $875 a month on the larger one, and $800 on the smaller one.
I'm very happy.

yeah, well thats like 3.8x gross income ($38,000/$10,000). did you buy them at these rents, or have the rents increased over the years and you paid $38k like 15 years ago?

 

[tvgram]

I think it is usually worth it to keep at least a little bit of the things that will perform well if inflation/stagflation increases and that (usually) have a low correlation with the stock market, such as real estate and commodities.

I have small pieces (about 2.5% of total portfolio) in things like ICF (iShares C&S Realty majors ETF and currently paying about a 3.4% dividend) and GSG (GS Commodity Index) despite the runup in both sectors.

 

[S2007S]

Quote from IanMacQuaide:

I own 2 little SFH's in a town north of Houston.
Both cost me 38K each. I"m getting $875 a month on the larger one, and $800 on the smaller one.
I'm very happy.

Those rents dont seem right with the amount paid.


If thats the case where you paid 38k and getting that kind of rent roll, show me the way. Seems too good.....

 

[El OchoCinco]

commercial real estate market is doing pretty well in many areas. Many places with long-term leases and escalation clauses annualy for rents will have steady income streams. Cannot look at real estate as one market only.

 

[DHOHHI]

Quote from S2007S:

Those rents dont seem right with the amount paid.


If thats the case where you paid 38k and getting that kind of rent roll, show me the way. Seems too good.....

I bought a little efficiency for $18K and monthly rent is $500. Key is to buy in a place where you know demand will be there.

 

[HedgefundTrader2]

Quote from optioncoach:

commercial real estate market is doing pretty well in many areas. Many places with long-term leases and escalation clauses annually for rents will have steady income streams. Cannot look at real estate as one market only.

Real Estate always comes back. I bought real estate 20 years ago and it has multiplied 10 times since than, been through 2 cycles like this. It ain't going anywhere.

These idiots will have to find a place to live sooner or later, they are just not sure when to start looking, they ain't going nowhere either, its just a show and lots of huff and puff on the buyers side. What are they going to do wash their clothes at a public laundromat, and park their cars on the road forever ? Their children will have to go to a park to play, and they can't have a puppy?

Sooner or later buyers won't be able to hold back much longer, the need will be pent up, place to live is a much needed necessity and they will come out the woodworks knocking down your front door ready to lay their asses which you can whack if you are that kind of a seller.

I have seen the look on the faces of these idiots, looking like sheep ready to get slaughtered. They just hang outside the house looking at it for hours and hours. Miserable runts!

 

[stock_trad3r]

housing in expensive areas keeps going up

housing ins shitty rual eareas and in arizona will keep dropping cause there is so much land

 

[HedgefundTrader2]

Quote from enforcer99:

i think we have at least another year. prices still have'nt fallen enough. another thing to remember is loan standards are much tougher so those that may have normally qualified may have a much tougher time. lets not for get the psychological aspect of this as well with so many people reading about real estate turmoil they are going to hold out until the coast is clear button is pressed. we had 15 years of real estate gains in 4 years so the speculation was rampant. real estate is not liquid like stocks where all as it takes it to press your mouse and you sell something. do not kid yourselves into thinking its almost over,its only been a year and a half at most;we have another year or year and a half to go.

Real Estate ain't going anywhere. People need a place to live.

This isn't a stock that you can sell at the click of a mouse. Its a tangible commodity, its a roof on your head, a shelter, where you keep your worldly belongings and grow your fond memories. People will need a place to live, just like food. But they can get spooked like a bitch in Texas winter and sit it out. These are jackasses who lose lots of years mulling over things, not sure, not keen, sort of low level achievers who will own a home and thats it. Some day when life has hit them too hard, they pull themselves and make a call to the realtor they have been holding off for months...than the fun begins.

You can literally ream these idiots than.

 

[jeffalvinson]

The attached 5 year chart of the Housing Index (HGX) shows that Index turning bearish when the HGX had its first monthly closing candle below its previously supporting rising 20 month moving average in May-06.
Every rally attempt since then has failed at the declining
20 month moving average, which now acts as resistance.
"What was Support is now Resistance."

Ultimately I see this index heading for the 105-120 area,
with relief rallies that make lower highs and lower lows along the way.
The only thing that I see that could change this scenario would be a Fed who continually keeps dropping interest rates.