Should I wait until after the presidential election to buy?

Question

I am looking at purchasing my first rental property and I’m not sure if I should wait until after the presidential election to pull the trigger. Have great credit and a decent down payment. Thoughts?

Tanvir Sattar · Answer

@Catherine ODonnell if you came across a deal you like I would not wait. Just look at cost/benefit of each deal and make an educated decision. Don't let the election hold you back.

Jon K. · Answer

Welcome to BP! There was just another thread about this but in a nutshell: Don't try to time the market. If you're a buy & hold investor, invest for cash flow and not appreciation and you'll do fine in the long run provided you don't over-leverage and maintain adequate reserves. Good luck, let BP know if you have any questions!

Zachary Ray · Answer

Why wait? Real estate will always be there one way or another. Invest while you can.

Nathan Gesner · Answer

The bottom line: there are deals to be had in any market. If you are a flipper, you need to time the market. IF you are a buy-and-hold investor that can ride things out, you should always be looking for deals.

This doesn't mean you walk around blind. You should still consider what may happen in the next 1-5 years, but don't sit in the corner wringing your hands over an election or the stock market or some other factor you have no control over. If you think there's something in the future that would negatively affect rentals (i.e. eviction moratorium extended, new rental laws, different President, housing market crash, etc.) then look for deals that can withstand that temporary setback.

If you purchase appropriately, rentals should be able to easily handle a downturn.

Edgar Gascon · Answer

Just like @Nathan G. suggested, considered the outlook of that property 2-5 years down the road but if the numbers work for you NOW, give you cash flow and drives you closer to your REI goals then don't let elections impact your decision.

Tyler Bains · Answer

I would just go for it now. You know the market as it is, we cannot predict the future and regardless of who wins there may be shifts. I think now is a great time to buy and if you have a deal that meets your requirements I would go for it.

Catherine ODonnell · Answer

@Jon Kessler thank you so much for taking the time to respond and for the welcome. Looks like it’s time to pull the trigger!

Should I wait until after the presidential election to buy?

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