Care to make a wager, anyone?

Question

Would anyone who's seen a few cycles on the ground be willing to make a prediction about what this downturn will mean for investors and how they should prepare to keep building and growing in spite of it?

Friendly "bets" only. Winner gets bragging rights about the millions they made after the pandemic.

JD Martin · Answer

@Erin Dorsey Robinson

Focus on solid segment deals. Right now I would avoid high Class A and Class D properties. That's where the majority of your risk and reward resides.

JD Martin · Answer

That's so open ended it would be impossible to win or lose. All real estate is local. You can bet that if the virus goes on and gets worse, there will be some areas that will boom while others are busting.

My in-general prediction: things slow down in general in the US real estate market but prices largely stay the same. There are a lot of foreigners that buy here as a hedge against their own country's currency, and that won't decline with a worldwide epidemic.

Erin Dorsey Robinson · Answer

@JD Martin So true. No place is a monolith. The only thing to be won is really some good ideas for how to hedge here in the US if people have some suggestions to share.

I'm thinking there are some things that everyone should do if they can to prepare and be in better position to continue investing no matter what happens: build up cash reserves, focus on buy and holds or very high velocity flips so you don't get stuck holding the bag if prices drop, etc.

Any suggestions?