Older Investors: Have stages of your life influenced your investment strategy?

Question

I'm curious to hear from some of the older investors (20+ years of experience) about your views ofbuying in cash-flowing neighborhoods vs appreciation neighborhoods over the duration of your career.
When you started investing in real estate, did you focus on cash flow at first and then appreciation? If you did, has that changed as you've gotten older? Did your age or stage of life influence your strategy? Were there neighborhoods you passed on that you now regret not buying? Do you wish you bought more in suburbs even though you would've taken a cut on cash flow?

Jay Hinrichs · Answer

As one ages absolutely ( at least for me) investment strategy changes. However to be fair I am in the business so RE to me is my vocation not a passive investment while i work my other job or my W 2 etc..

But having worked with many investors the last 40 years what I find is most if they were in rentals tire of them.. and move to debt. or other vehicles not many go long term IE 20 plus years being a landlord at least my clients.

Jay Hinrichs · Answer

@Denise Supplee    I dont buy any property I only loan money against it for others that are either building portfolios or building new construction or flipping.. I tagged Denise as you should really look at her club they have offerings every month sometimes I think more than one a month and they tend to be all sorts of different niche's so some good info there and her and her partner do the heavy due diligence up front for the club members and then you can put as little as I think 5k into a deal and then see how it goes.. But you will get an idea of things other than buying SFR's and working them yourself.  PS I am not personally a client of theirs just like what they are doing.

G. Brian Davis · Answer

Early on, I chased cash flow because it kept me in the game. Over time, I realized the best long-term results usually came from markets that offered a healthy balance of cash flow and appreciation. In our co-investing club, we've seen the same thing across many operators and markets. I'd rather own a good property in a growing market than a great cash-flowing property in an area with limited long-term demand.

Denise Supplee · Answer

After all these years, cash flow was always my priority. I wanted the property to make sense when I bought it, and if appreciation came along, that was a bonus. There were certainly areas that appreciated more than I expected, but I've never regretted buying properties that worked from the start.

Older Investors: Have stages of your life influenced your investment strategy?

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