Specialist · Waterford, MI · Member since 2017 · 9 posts · 0 votes
The optimal time to raise capital and the optimal time to deploy capital are often at odds with one another.
“The easiest time to raise capital is often the most difficult time to invest it, whereas the hardest time to raise capital is often the best time to invest in real estate.’ - James Jacobs, Lazard
Just wanted to share my experience and ask the wisdom of the crowd, how is everyone out there navigating this market during the current health/market crisis?
Primarily equities... short positions, and stock options. There will be a time for real estate, but it's way to early for me to think about acquisitions in real estate at the moment.
Yes, the time to raise capital was months ago. Not much of that going on now.
Primarily equities... short positions, and stock options. There will be a time for real estate, but it's way to early for me to think about acquisitions in real estate at the moment.
Yes, the time to raise capital was months ago. Not much of that going on now.
In this century, I've been through 2 big real estate downturns, the 2001-2002 tech recession that was more regional (at least in the really "bad" aspects) and the Great Recession. Class A property held up reasonably well in most markets. This recession will be about the same, except that some commercial real estate (retail centric) will be impacted more this time around.
If you are looking for class-A bargains, you are about a year early. If we get that far out, I fear we are all in serious trouble.
The bottom line is that class-A property, while not immune from this downturn, won't be impacted as you anticipate.
Primarily equities... short positions, and stock options. There will be a time for real estate, but it's way to early for me to think about acquisitions in real estate at the moment.
Yes, the time to raise capital was months ago. Not much of that going on now.
My 2 cents
Regarding "There will be a time for real estate, but it's way to [sic] early for me to think about acquisitions in real estate at the moment." Let me rephrase that. "There will be an optimal time for real estate depending on what opportunities present themselves. It's too early for me to pursue (or chase) acquisitions in real estate at the moment."