All Forum Posts by: Sam Josh

@Jared Wild

I know several dudes who sold 4 years back in anticipation of the next Great Recession.

@Chad Daniel

I disagree with those compares

They are apples v oranges. RE is a leveraged asset, low liquidity. The index fund is exactly the opposite plus more volatile. The tax treatments are different as well. So the merits to compare and prove one is superior to other is not correct. Plus RE is hyper local. The RE purchased in San Fran has a different investment profile vs RE in Denver vs Dayton.

Plus, Somehow the assumption is that an RE investor will pound the pavement, put in hours of research and then purchase RE vs the same investor will comfortable put their money in an index fund as opposed to doing the same level of legwork to pick the right stocks. For example, if one had put money in the last 3 years in some select tech names, returns are north of 40% a year.

@Guy Gimenez

Have read those articles and that’s my point we don’t see the impact of the same here on the ground. There is a lot of walk and talk in the media but we don’t see or feel it on the ground. What we see is lord more traffic and rising costs and competition for resources.

What is happening for sure is some large corporations have moved their HQs to Dallas. McKesson, Schwab for example. Others are expanding their presence in Texas vs abandoning California.

At this time there are labor cost differences in Texas that are attractive and companies are taking advantage of the same. Now those trends are not turning California is a ghost town, there are plenty of people coming in. Lots of domestic and international migration is happening and for every one company leaving the state 5 new ones are created. For example Uber spreading its wings while McKesson leaves or Google expanding its office spaces across the bay etc.

@Collin Chan

My observation exactly. More people coming in and coming in for high paying jobs.

@Guy Gimenez

To us here in the Bay Area the “exodus” is like Big Foot, people have only heard of the exodus but no one has really seen it.

@Gary Roberts

Hard fact is the Bay Area is not the domain of the average BP investor. Its a premium market with premium returns and majority of those returns come in the form of asset appreciation vs cash flow. It’s the playground of the wealthy including a massive chunk of very wealthy overseas investors. So the market dynamics are quite broad and not to mention startup and IPO wealth. If Lyfts layoffs matter, then I am not sure what you have to say about Tesla, Google, Apple hitting their best financials ever.

Don’t think you can or should try timing this market. To me this is like a Berkshire Hathaway stock that you buy and hold. If you can’t hold, it’s not the right investment.

@Jon S.

Sorry but what a dumb article!

@Salvatore Lentini

I have several properties but in the past 2 years my other investments are moving up by 40 - 50% a year. I prefer to invest where the returns are the best.

@Jitin Chopra

What appreciation are you expecting here? Cash flow is often the smallest percentage of the overall total gain in the Bay Area.

@Nicholas Potocki

Where is this located?