Updated over 4 years ago on . Most recent reply
Buying STR in this Market?
Hi all,
I am one of those who think there is never a “bad” time to buy real estate, but there are very difficult times. I have always thought that the key to real estate wealth is through long term appreciation.
With that being said, I am stunned by the rise in housing prices. My strategy is simply to purchase a SFH in a popular vacationing area to generate income through a STR.
Deals are incredibly hard to find unless it needs major rehabbing - which brings out of state, is not something I will be able to do. People know what they have and the inflated prices show it.
What are your thoughts on purchasing "turn/key" properties in this market for STR? Is it a horrible idea?
Most Popular Reply
@Alex Smith
If you think in 3yrs prices will be lower, then best to not buy. My personal thought is that prices will be higher. Interest rates are still low, there is a ton of cash in the sidelines, policy will remain accommodative, and taxes will probably move higher (making real estate more attractive).
Run the numbers first and if it makes sense go for it. Better to buy and wait than wait and buy real estate.