I’ll cut to the chase — I’m not concerned about my financial future because there’s an undersupply of homes.
Let’s go back in time to the housing bubble collapse of 2008. At that time, many homebuilders went out of business, and many tradesmen in that industry sought careers elsewhere. It took an entire decade to recover, and at that time, we saw the millenials ready to start settling down and becoming homeowners.
But because of that prolonged lack of home building, they competed for the dearth of homes available and pushed housing prices way up.
Couple that already insufficient supply with Covid-related supply chain issues and a slew of home-building-related jobs going unfilled — and we are left with record shortages of homes we are experiencing today.
One of the best ways real estate is an excellent investment is its cash flow potential in rents. Having an undersupply of homes better guarantees rental properties can get and hold tenants, providing that cash flow. Long-term tenants can also invest in their neighborhoods, contributing to their communities.
People will always need a place to live, whether they own or rent, which is why I’m proud to be able to collaborate with my investors by providing affordable and safe housing for people.
And without significant changes to zoning rules (i.e. — allowing more units on a particular parcel of land), this pattern likely isn’t changing anytime soon.
If you’d like to learn if passive real estate investing is a good fit for you, check out my free download — How to Invest in Real Estate with Little Time and Effort.
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