The King Group of Marcus & Millichap’s Post

Is your cottage publicly traded? Of course not. But stocks are. That’s why, in comparison, your cottage feels less volatile, making it seem like a safer investment. In #realestate, you don’t feel the gut-wrenching up and down days, and thus it feels like a calmer experience.  This helps create the impression that real estate is the better investment. 💥But: the data says otherwise.💥 There are a number of other reasons that people are under this largely inaccurate impression. 👉 You can read about them in our monthly blog, #TheSurroundup, by clicking in the comments. 👈 #investing #markets #portfoliomanagement #wealthmanagement #Surround #TheSurroundup #TheresMoreThanOneWayToWealth

Investing in real estate has some similarities to investing in stocks. The most obvious one is in trying to time the market. Warren Buffett once said, "We haven't the faintest idea what the stock market is gonna do when it opens on Monday - we never have." This holds true with real estate as well. There are always a lot of opinions and speculation about the market's future. However, it should largely be ignored. Why? Because you can always find a good deal in any market if you're patient. Conversely, you should not buy a property that is dependent upon the market going in a certain direction. Lots of investors are in trouble right now because they purchased real estate with the assumption that the 2021 record high prices would continue to climb. Now, they're underwater. Don't "time the market". There will always be lots of noise, positive and negative. Focus on deals that generate cash flow (or whatever your strategy is) and be disciplined. You can make money in any economy or market. #RealEstateInvesting #InvestmentWisdom #FinancialLiteracy #WealthBuilding #EconomicInsights

Investing in real estate has some similarities to investing in stocks. The most obvious one is in trying to time the market. Warren Buffett once said, "We haven't the faintest idea what the stock market is gonna do when it opens on Monday - we never have." This holds true with real estate as well. There are always a lot of opinions and speculation about the market's future. However, it should largely be ignored. Why? Because you can always find a good deal in any market if you're patient. Conversely, you should not buy a property that is dependent upon the market going in a certain direction. Lots of investors are in trouble right now because they purchased real estate with the assumption that the 2021 record high prices would continue to climb. Now, they're underwater. Don't "time the market". There will always be lots of noise, positive and negative. Focus on deals that generate cash flow (or whatever your strategy is) and be disciplined. You can make money in any economy or market. #RealEstateInvesting #InvestmentWisdom #FinancialLiteracy #WealthBuilding #EconomicInsights

The senior housing market has been facing challenges since the Fed's Rate Hike. Despite the presence of high-quality private companies and significant capital waiting to invest, new developments and acquisitions have been scarce. But, hope is on the horizon! Summer is coming. As the broader senior market is breaching all-time high demand and need (2030), the pent-up supply/demand of firms/capital is waiting for the green flag to drop. Exciting times are ahead as we gear up for summer 2024 and welcome the thaw in the senior housing market. It's the perfect time to invest in development and growth. #investment #development #growth

🚨 Goldman Sachs Predicts a 2008-Style Crash in Certain US Cities! 🚨 Are you curious if your city is on the list? 🌆 I just shared my take on this bold prediction. Watch to find out if your hometown is at risk and what it could mean for the real estate market. 🔍 Watch now and see if your city is on the brink! #RealEstate #GoldmanSachs #MarketCrash #2008Crisis #HousingMarket #USCities #Investment #WatchNow

Discover the resilience of single-family homes during recessions! 🏡 This video highlights why these properties are the unsung heroes in the real estate world, especially in challenging economic times. Learn about the stability and potential growth opportunities they offer, making them a smart choice for investors looking to diversify and strengthen their portfolios. Embrace the power of single-family homes in your investment strategy. #SingleFamilyInvestment #RecessionResilience #RealEstateHeroes

👋 Everyone has probably seen the tumultuous week that the stock market has had. Curious how the stock market and real estate correlate? 🧐 📈 Historically speaking, real estate has a low or even negative correlation to the stock market. This is good news for those that are looking to diversify an overall portfolio because it means that if the stock market is down, that doesn’t necessarily mean that real estate goes down with it (and vice versa) ☺️ ‼️ There are a lot of reasons for this, mostly because real estate is not always impacted in the same way or level of intensity then equities are (especially in the short term.) 🏬 As part of an overall investment strategy in the long-term, you may want to consider adding a hard assets like real estate to your portfolio. This can be a simple as owning one single-family home near you that you rent out. Diversifying is always a great way to try to reduce some of the risk associated with any kind of investing. 👍 What do you think about real estate as an asset class? #investmentrealestate #reinvesting #physicianrealestate #stockmarket #louisvillerealtor

⬇️ Prices are Down, Opportunities are 🆙: Why the Time to Buy CRE is Now. Or…at least that’s what Blackstone, Goldman Sachs, Fundrise and Brookfield Asset Management are saying. 🔎 Here’s a closer look at the insights from Peter Rothemund Co-Head of Strategic Research at Green Street reflecting on the market’s journey from uncertainty to a hopeful equilibrium. 1️⃣ January: “The correction in real estate pricing that began two years ago appears to have run its course. Commercial real estate is now fairly priced versus yields on corporate bonds, and market pricing of listed REITs suggests the same,” Rothemund observed. This marked the beginning of a hopeful year, setting the stage for a potential market recovery. 2️⃣ February: Moving into February, Rothemund shared an optimistic outlook, stating, “For most property types, pricing has probably hit its low.” This sentiment provided a glimmer of hope for investors looking for signs of a bottoming market. 3️⃣ March: “Property pricing has stabilized over the past couple of months,” Rothemund noted. With CRE now deemed fairly priced relative to corporate bonds, expectations were set for pricing to hold at current levels. 📉 Market Insight: Prices have dropped 21% since the peak in March of 2021. The index is at 121.8. It peaked at 155. During the lowest of the lows, July of 2021, it was at 120.1 Yet, as Rothemund’s insights reveal, the industry is navigating towards stability.  𝐓𝐡𝐞 𝐫𝐞𝐚𝐥 𝐪𝐮𝐞𝐬𝐭𝐢𝐨𝐧? Amid these developments, investors are pondering, “Should I buy right now, and if so, what?” Industry giants like Fundrise, Brookfield Asset Management, Blackstone, and Goldman Sachs are advocating for seizing the moment. ➥ THE TAKEAWAY via CRE Daily - Looking ahead: The resilience of the U.S. economy is expected to aid in the CRE recovery. The focus is now on the speed of this rebound rather than further price declines. 𝐁𝐥𝐚𝐜𝐤𝐬𝐭𝐨𝐧𝐞’𝐬 𝐉𝐨𝐧 𝐆𝐫𝐚𝐲 𝐬𝐮𝐦𝐬 𝐢𝐭 𝐮𝐩 𝐰𝐞𝐥𝐥: 𝐛𝐞𝐢𝐧𝐠 𝐨𝐯𝐞𝐫𝐥𝐲 𝐜𝐚𝐮𝐭𝐢𝐨𝐮𝐬 𝐦𝐞𝐚𝐧𝐬 𝐦𝐢𝐬𝐬𝐢𝐧𝐠 𝐨𝐮𝐭, 𝐚𝐧𝐝 𝐰𝐢𝐭𝐡 𝐢𝐧𝐭𝐞𝐫𝐞𝐬𝐭 𝐫𝐚𝐭𝐞𝐬 𝐞𝐱𝐩𝐞𝐜𝐭𝐞𝐝 𝐭𝐨 𝐝𝐫𝐨𝐩, 𝐧𝐨𝐰 𝐢𝐬 𝐚 𝐭𝐢𝐦𝐞 𝐭𝐨 𝐚𝐜𝐭. 𝐁𝐮𝐭 𝐭𝐡𝐞 𝐰𝐨𝐫𝐥𝐝 𝐡𝐚𝐬 𝐜𝐡𝐚𝐧𝐠𝐞𝐝, 𝐚𝐧𝐝 𝐬𝐨 𝐡𝐚𝐬 𝐭𝐡𝐞 𝐚𝐫𝐭 𝐨𝐟 𝐰𝐢𝐧𝐧𝐢𝐧𝐠 𝐝𝐞𝐚𝐥𝐬. #CREInvesting #MarketRecovery #StrategicInsights #RealEstateTrends

Understand the Market Cycles "Successful real estate investing requires understanding and anticipating market cycles. Each phase of the cycle—recovery, expansion, hyper supply, and recession—demands different strategies for acquisition and exit. What do you think should you buy now or wait? #MarketCycles #InvestingWisdom"

"Leave Past Regrets Behind: Pivot Towards a Future of Innovation and Growth" In the realm of real estate investment, I often come across individuals beating themselves up and their peers over past excesses. Having witnessed five recessions in real estate, I can confidently say that investors were remarkably more disciplined and conservative leading up to the current recessions than past recessions. The slow pace of foreclosures is a testament to this prudence. Here is what I have learned: shit happens. Every boom brings about some level of excess exuberance, but it's crucial to shift our focus from the past. Instead, let's channel our energy into innovation, transformation, and finding new ways to revive your ailing projects and thrive in the ever-evolving real estate landscape. As Spock use to say: live long and prosper. 💡🏡 #RealEstate #Innovation #Transformation #Adaptability