I guess We are on the verge of a pandemic. stocks have already lost a considerable amount of value due to this virus. Thankfully I was able to sale majority of my positions a couple days ago to prevent any further losses, and im glade I did so . How do you think this will effect real estate? what will you be doing to protect your self from potential losses if any?
Handyman · Pittsburgh, PA · Member since 2018 · 5k+ posts · 13k+ votes
6y
The corna virus is deadly and insidious. I anticipate it will do to our global society what the bubonic plague did to medieval Europe. I am hoarding respirators, nitrile gloves, Tyvek suits, AK-47s, and a million rounds of ammo, waiting for the height of the pandemic when the gubmint quarantines and locks cities down, leaving the sheepeople, excuse me, ordinary citizens, defenseless. That's when I'll start my new business enterprise. The looting and warlording will suffice for my initial round of venture capital funding until I can get the sex trafficking up and running. "The future belongs to those who believe in the beauty of their dreams." -- Thomas Robert Malthus
Handyman · Pittsburgh, PA · Member since 2018 · 5k+ posts · 13k+ votes
6y
The corna virus is deadly and insidious. I anticipate it will do to our global society what the bubonic plague did to medieval Europe. I am hoarding respirators, nitrile gloves, Tyvek suits, AK-47s, and a million rounds of ammo, waiting for the height of the pandemic when the gubmint quarantines and locks cities down, leaving the sheepeople, excuse me, ordinary citizens, defenseless. That's when I'll start my new business enterprise. The looting and warlording will suffice for my initial round of venture capital funding until I can get the sex trafficking up and running. "The future belongs to those who believe in the beauty of their dreams." -- Thomas Robert Malthus
Investor · Akron, OH · Member since 2016 · 2k+ posts · 4k+ votes
6y
I was at home depot this morning and the guy in the paint section said people keep coming in and buying ALL the face masks everytime they get any stock to send to family over seas.
The corna virus is deadly and insidious. I anticipate it will do to our global society what the bubonic plague did to medieval Europe. I am hoarding respirators, nitrile gloves, Tyvek suits, AK-47s, and a million rounds of ammo, waiting for the height of the pandemic when the gubmint quarantines and locks cities down, leaving the sheepeople, excuse me, ordinary citizens, defenseless. That's when I'll start my new business enterprise. The looting and warlording will suffice for my initial round of venture capital funding until I can get the sex trafficking up and running. "The future belongs to those who believe in the beauty of their dreams." -- Thomas Robert Malthus
lol you obviously watch entirely way to much sifi .. thanks for the good laugh
I was at home depot this morning and the guy in the paint section said people keep coming in and buying ALL the face masks everytime they get any stock to send to family over seas.
right, amazon is even on back order until the end of march. what's ironic is they are saying that the mask will not protect from the virus. you will need a full face respirator covering your face and eyes
Investor · Akron, OH · Member since 2016 · 2k+ posts · 4k+ votes
6y
@Maurice Smith to take a stab at your initial question; this virus seems like one of those things that could go either way, it might fizzle out but it could ramp up. It doesn't make me feel warm and fuzzy that VP Pence who has written that "smoking doesn't kill people" and who has, in the past, made attempts to block funding to prevent the spread of HIV is in charge of communication if this does turn out to be a serious public health issue. If this does have a major impact on the US population, financially speaking, the poor will likely (as usual) be hit first and hardest. In my low income rentals, my tenants don't get paid if they don't work. If there are retail shut downs, my tenants will lose hours. Health aids working with the aged will suffer higher viral loads and probably be more likely to be infected. Aid will probably eventually be made available but it will be too little, too late for many. For landlords, reserves will be needed if this takes off.
Rental Property Investor · Los Angeles, CA · Member since 2017 · 2k+ posts · 5k+ votes
6y
Every couple of years we have the next pandemic that is going to wipe out half the world.
MERS will be a pandemic. Around 1000 dead.
SARS will be a pandemic. A few hundred dead. Bird Flu will be a pandemic. A few hundred dead.
Ebola will be a pandemic. Around 11000 dead.
Auto accidents you can ignore. About 1,250,000 deaths each year.
Cancer you can ignore. About 9,600,000 deaths each year.
Maybe the Corona virus will be the one that wipes most of humanity out. More than likely it's just a very small number of people who die from it and we forget all about it.
And as a long term investor, you should be buying stocks when they are on sale like this.
Investor · Greenville, SC · Member since 2016 · 5k+ posts · 13k+ votes
6y
Most of us don't require anything from our government...except on thing: safety. There are more than 15 cases in the US. We need more candor, facts, and (most importantly) a plan. Stopping flights from China and getting a vaccine in 1.5 years is not enough. Time to put politics aside...the virus does not care which party we are.
Chapel Hill, NC · Member since 2019 · 10 posts · 5 votes
6y
As futures fall such as /CL and /NQ, there is a great opportunity to invest in the bear velocity ETFs such as DWT (up 44% last 5 days), SPXS (up 41% last 5 days), and SQQQ (up 44% last 5 days). Proceed with caution because they are extremely volatile.
Real Estate Agent · San Antonio, TX · Member since 2017 · 814 posts · 466 votes
6y
Worried? No. I believe there is not a huge negative impact in RE market overall. AirBnB and the like will suffer for quite a bit until the virus is stabilized (fear of people to travel). Pockets with a majority of Asian population may see an impact in the US (within big cities I suspect). On the other hand, there are better options for mortgages for buyers and investors at least for now. My two cents.
Rental Property Investor · Concord, NC · Member since 2016 · 1k+ posts · 3k+ votes
6y
I borrowed money to buy houses 2008-2013. I sold bonds and bought stock a few days after BREXIT was voted for by the general population while the market was diving. Today, I moved money from bonds to stocks. I'm not the smartest guy in the room, but buying on bad news and holding for the long term generally works.
Rental Property Investor · Member since 2018 · 66 posts · 71 votes
6y
@Josue Vargas
Another possibility for AirBnb owners who are inside the U.S. is that they may actually do pretty well since more Americans will most likely travel within the states this year rather than out. We have 4 beach vacation rentals in the FL Panhandle so it'll be interesting to see how this season goes.
Investor · San Diego, CA · Member since 2015 · 435 posts · 421 votes
6y
I'm so glad that my summer rental is already rented and all money in, for the entire summer. It's not a vacation client - it's a corporate client supporting scientific research labs, so I think I'm secure. I'm more worried about my Class C rentals - if workers get laid off, they won't be able to pay rent almost immediately, since they live paycheck to paycheck.
I'm so glad that my summer rental is already rented and all money in, for the entire summer. It's not a vacation client - it's a corporate client supporting scientific research labs, so I think I'm secure. I'm more worried about my Class C rentals - if workers get laid off, they won't be able to pay rent almost immediately, since they live paycheck to paycheck.
I am concerned about my long term rentals as well. Luckily I don't have any mortgages on these but the loss of income could be a huge hit to the bottom line. Most of these renters live paycheck to paycheck and are hourly employees.
Regarding the stock market and the general economy. I have read some articles that the general global economy has been slowing down a bit, primarily the manufacturing sector. The coronavirus may just be the catalyst to push global economies in to recession territory if governments have trouble containing it. If governments are quick to react and contain people with the virus, allowing people to continue to work, then I think a recession could be avoided (at least for a little bit). If governments are slow to react and contain the virus, causing businesses to shut down (like in China), then the coronavirus will be the catalyst to push the global economy in to a recession.
What does this mean for real estate, I think you will see a slight decrease in home prices (single digit %) and a general cooling off of new housing starts. Thus improving rent to purchase ratios for rental investments. I think middle to high end housing prices will have slight decrease in sales prices (1-4%), while low end housing prices will see more sales and sale prices declines closer to the higher single digits.
In general, any recession we have I think will be minor to moderate at the worst, but most likely between minor and moderate. Professional level employment will remain relatively stable, with hourly workers (retail/manufacturing) type of jobs seeing employment losses.
Rental Property Investor · South shore, MA · Member since 2017 · 1k+ posts · 1k+ votes
6y
I believe the fear behind Covid-19 is what is driving the sharp downturn in stocks. But the economy hasn't been as good as every says it has been. From what ive seen, over the last few years major companies have been holding on by the tip of their finger. We just had 2 companies file chapter 11 over the last 6 months, and many companies dropping our lines just to stay afloat the past couple years.
You feel the effects from these things years later, not right away. And now the cards are falling because we have been given a clear reason to let it fall. Just my opinion.