Real Estate is dying? Investment-wise what is the next Asset Class Du Jour?

[SlyFlo]

If you can manage properties in Pennsytucky and Padookaville, while living in a decent city in the US, all the more power to you. I was speaking about residential property somewhere in a major city.

A friend of mine knew a mobile home property owner and said getting your rent from them is absurd...like pulling teeth....and residentials in college towns are seasonal (you will not get full yr. rental commitments) and the kids destroy the properties. Not to mention that probability of these types of properties going up in value are not the same as major cities (which are now beyond fully priced) - that's a big IF they go up.

If you like these types of headaches and have the time and energy to manage them, all the more power to you. I know that between the markets and family, there's not much time for me to call the plumber in Kazootown, USA and find out why he didn't snake out the clogged puke in the collegetown 2 bedroom apartment which is inhabited by 8 drugged up jockstraps.

 

[Copernicus]

Quote from Covertibility:

Trailor parks... LMAO
Eastern Europe RE was funny but RV's ?!?!

How about the moon ? Mars ?
I'll awaiting a response from God regarding some real estate in heaven.

whats so funny about eastern europe?

 

[Copernicus]

Quote from Cutten:

Eastern European real estate. Convergence play with W European countries now that they are part of the EU, cheap relative and absolute prices, very high yields in places (10-15% on prime location brand new apartments), rapidly growing incomes, and interest rates will eventually come down to Eurozone levels once they join the Euro.

IMO property there will go the same way that Ireland, Spain, and other fringe countries in the mid-late 90s i.e. up a lot.

very good point with eastern europe.
i researched the market in warsaw this summer.
it is absolutely red hot, problem is not much left to buy.
all of good layouts and views gone long time ago.

 

[drsteph]

In case you were wondering, land in parts of Florida just got a lot cheaper in the last 12 hours c.f. Charley.

 

[TenaciousDoll]

Quote from SteveD:


But Wall Street likes the brochure the apartment REIT's have as the pictures are nicer.

SteveD

Hmm...are there any REITs out there that deal with trailer parks?

 

[Midas]

RE:"If you can manage properties in Pennsytucky and Padookaville, while living in a decent city in the US, all the more power to you. I was speaking about residential property somewhere in a major city."


You do not have to manage them. You can hire a real estate company to do all of the work. They find the tenants call the plumber, etc.

 

[Covertibility]

Quote from SlyFlo:

If you can manage properties in Pennsytucky and Padookaville, while living in a decent city in the US, all the more power to you. I was speaking about residential property somewhere in a major city.

A friend of mine knew a mobile home property owner and said getting your rent from them is absurd...like pulling teeth....and residentials in college towns are seasonal (you will not get full yr. rental commitments) and the kids destroy the properties. Not to mention that probability of these types of properties going up in value are not the same as major cities (which are now beyond fully priced) - that's a big IF they go up.

If you like these types of headaches and have the time and energy to manage them, all the more power to you. I know that between the markets and family, there's not much time for me to call the plumber in Kazootown, USA and find out why he didn't snake out the clogged puke in the collegetown 2 bedroom apartment which is inhabited by 8 drugged up jockstraps.

About time some sense entered this thread.
The cost of hiring anyone to manage your property cuts into the profit margins making the investment a whole lot less desirable.

 

[Covertibility]

I have a couple of questions regarding that trailor park community in Florida that was destroyed by Hurricane Charlie.

Who pays to clean up the mess? I'm guessing its the owner of the land.

Do the inhabitants still pay a monthly rent even if their dwellings are nonexitant?

 

[lrm21]

Quote from Midas:

RE: "I'm not sure where you live but in most parts of the united states (except nyc for now), you can't even rent a 500k home for over 2k/month....where's the income??? i'm in FL, my friends are in nyc, dc and chicago and they all say the same thing - rent does not cover monthly costs!"


I hate to make you look like an idiot but here goes. NYC, Chicago, and DC are not the only places in the US that people live.

.....
IN 5 MINUTES TIME I FOUND 3 PROPERTIES THAT DEBT SERVICE AND HAVE THE POTENTIAL TO GENERATE INCOME. THE TRICK IS TO LOOK OUTSIDE OF THE LARGE METRO AREAS. BROADEN YOUR HORIZONS THERE IS A GREAT DEAL OF MONEY TO BE MADE OUT THERE! AND REMEMBER LARGE METRO AREAS ARE NOT THE ONLY PLACE PEOPLE LIVE IN THIS COUNTRY MIDDLE AMERICA REALLY DOES EXIST.

Good post. Thanks

 

[moo]

Quote from praetorian2:

You'll hate to hear this, but gold/silver are the new play. Pretty screwey really. I'd have never thought it, but that's where I'm staking my money.

Screwey? Why??

I love to hear this!!

As to real estate, get some lakeside property in Finland. There's nothing more beautiful.