Hello and welcome. Thank you for requesting me.
Kindly remain online for a while as I prepare your reply.
I believe, home prices are set to increase in inflation times.
do you believe it will outpace inflation or just be a parity?
There, in my opinion, in times of weakening dollar, it is always better to invest in real estate than investing in financial instruments.
You will certainly safeguard your investment with this strategy. In my opinion, home prices are set to remain stable with up ward bias.
It should outpace inflation, in my opinion.
Are you there? Is there anything more I can assist you with?
what would be better lower priced single family homes, to rent than later sell or multiple families? I fear in some multiple families people with low paying job who rent small units might default on rent?
To have single family homes would be better. They can be properly managed.
in other words have the tenants maintain the whole house for themselves
Yes, that is what I mean. You can have rental property, but preferable single family homes.
are there companies that manage realestate for group participants?
Yes, there are companies that do property management for you.
how can one find what the strongest us cities have the best markets for this type of investing?
Talk with these management companies. They would be the best people to guide you.
what part allocation of a portfolio would you place in real estate? do you think a major economic reset is coming?
You can safely bet 50% of your portfolio in real estate in order to effectively spread the risk.
will investing in real estate over seas be of any advantage?
No, I do not think so. US is a better market, price wise to begin this. It has more room to appreciate in future.
do you believe gold/oil will decline if the market declines from here?
No, Gold and Oil would rise, in case of declines in the Markets.
would reits be better than buying actual properties?
No, REITs would give you relatively lower returns. This would be like buying a mutual fund as against directly investing in stocks.
so can I assume that commercial retail property would also be less desirable in this case as would condos with hoa fees?
Yes, that is right.
How can I offset my risk if a family I rent a home to defaults on the rent? if I have a multifamily I have some other tenants to contribute to expenses.
The effective way to offset this is to have a sound, proper and strict agreement drafted. A local attorney would assist you with this. Beyond this, this is a little hypothetical situation.
would land be also the least desireable form of real estate investment?
Yes, because, that will not generate any significant income. You should concentrate on family homes.
do you have anyway to measure when it is the best time to sell homes? like an indicator? I am concerned of a double dip scenario of late
No, there are not such indicators and that would be wrong method to do it as well. If the value declines, you should hold your investments, and if the value increases,then you should exit once you have got your desired rate of returns.
Otherwise, there are no such tools, indicators, like in stocks, which show entry and exit prices.
do you believe interest rates will rise soon and what will this do to single family home prices?
Interest rates may rise moderately and this may cause the home prices to increase.
why icrease if affordability goes down as payments are more?
yes why do you think highier interest rates will cause the home prices to increase?
Because, higher interest rates means higher cost of funds, and this means increased prices.
what about the affordability of the buyer? would higher payments mean less home purchases at higher prices?
This will remain guided by demand supply gap, because, during inflation, even people will have more disposable incomes.
would you think it easier to mange a few single family homes in one region.or to go to multiple cities to spread risk and hire local managers?
In my opinion, multiple homes in one region would be preferred and easier to manage.
You will not spread your risk if you go in multiple locations.
I thought local economys may do better / worse in areas in this case
No, not much, in my opinion.
Is there anything more I can assist you with?
You may pleas leave a positive rating if this helps, alternatively revert back wit a purely.
would you place each home un a different llc company and why?
There is no need to put each home in different LLC. You will not serve any purpose by doing this.
You are most welcome...!!
You may please leave a positive rating if this helps, alternatively revert back with a reply.
in regard to everything we discussed above, do you still prefer single family homes over triple net franchise type properties and why/?