Is this the worst time to start?

Question

I'm looking at starting with a 2-3 family property and saw a range of places this week. One which I'm preparing to make an offer on.

Question is, everyone is saying this is a terrible time to buy. Prices are high (place I'm looking at is listed at 74% higher than it sold for 3 years ago) and there is an eviction moratorium that could cause a flood of properties and bring prices back down to earth.

Is it silly to join the rush? Should I sit back and see what happens and buy once the frenzy has passed?

Chris Grey · Answer

I'm definitely a newbie but doesn't this advice change depending on what type of REI someone is looking to do? Surely this same advice (don't wait!) was given to investors in 2008 which turned out to be terrible advice back then. Are we in a mini-2008 now? I don't want to wait either but there must be some amount of caution or protection a new investor should follow, no?

Claudio Salvatorelli · Answer

@Aj

@Aj Parikh Well said

Aj Parikh · Answer

I never understood waiting to buy real estate. They have said it multiple times on the podcast that "DON'T WAIT TO BUY REAL ESTATE, BUY REAL ESTATE AND WAIT".

Mason Hickman · Answer

@Oriel Pascal Davis - Lyons

There are plenty of great quippy sayings to help answer this one. I’m choosing to go with “it’s better to have time in the market rather than timing the market.”

If you find a good cash flowing deal and plan to hold for the long term, pull the trigger and make a deal. You might be waiting for a long time before all the stars align to make something perfect with low prices, low interest rates, path of progress, etc etc.