Hey guys, right now we have an incredible opportunity to talk to our clients. They’re nervous, frustrated, and anxious. What are they anxious about? They’re worried about the trade war, the stock market, their 401(k)s, their ability to retire on time, and even the possibility of losing their jobs.
There’s a lot of anxiety in the market right now.
You can sit back and hope everything gets better, or you can take action. Your game plan should be to reach out to everyone in your database this week—either with a call or a text. I prefer a call.
You can say, “Hey, I know you’re watching the stock market like I am, and you’re seeing all the turmoil with the trade war. How are you feeling about it? I’ve been talking to a lot of my clients, and some are thinking about diversifying their portfolios by investing in real estate. Real estate is a safe, stable, and secure investment. It went up 5.2% last year, and it has a baseline value. The baseline value is whatever you can rent the property ...
For the last three months, rents have been on decline, and that's kind of a shock. We saw rents skyrocket during covid, but now there's pressure coming into the market.
Two things have happened:
First, people are starting to come back into buying houses again, so they're leaving their rental units to buy houses, a small trickle there. Another big part is the fact that 500,000+ new units across the country were built and came online last year, and 400,000+ are coming online this.
So what's the opportunity for us as REALTORS?
Well, one opportunity is to target mom and pop investors in your local market. These are people that might own two to 10 units in your market. They're not major industrial investors, but they'll be impacted by higher vacancy rates and decreasing rents. Some of these folks bought and they stretched themselves to afford it, and if they have a couple of months of vacancy, they could really get hurt.
Still, it's a strong market and there are still investors acquiri...
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