OT The INVESTMENTS Thread

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Aren't you a real estate professional these days? And you are asking us???

I've invested in publicly traded REITs. Wouldn't touch private ones with my 10 ft pole.

barfo
 
The key is to buy low and sell high.

If you do it the other way around you'll lose money.
 
barfo said:
Aren't you a real estate professional these days? And you are asking us???

I've invested in publicly traded REITs. Wouldn't touch private ones with my 10 ft pole.

barfo
Click to expand...

I am, but in a very niche' market. REIT's are an animal I haven't considered.
 
barfo said:
Aren't you a real estate professional these days? And you are asking us???

I've invested in publicly traded REITs. Wouldn't touch private ones with my 10 ft pole.

barfo
Click to expand...
You have a ten foot pole too? But I'll bet it doesn't have the massive girth of mine.
 
ABM said:
Thank you. That's all fine, Sly. Google is my friend. I was simply asking anyone who has had experiences in this investment space - their respective pros and/or cons.

Additionally, the heading is Investments. So it could be anything for that matter.
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Google would show you articles and often Reddit doesn't show up in searches. You asked an online community for experiences in REIT. I was just showing you a bigger community with more direct knowledge. They would have more of the pros/and or cons you are looking for.

Best investment I've heard of recently is the winner of the Kentucky Derby was bought for $1000. You have a large backyard...
 
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SlyPokerDog said:
Best investment I've heard of recently is the winner of the Kentucky Derby was bought for $1000. You have a large backyard...
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Pretty sure they are building one from parts. ABM's wife has already acquired a horse's behind.

barfo
 
SlyPokerDog said:
Google would show you articles and often Reddit doesn't show up in searches. You asked an online community for experiences in REIT. I was just showing you a bigger community with more direct knowledge. They would have more of the pros/and or cons you are looking for.

Best investment I've heard of recently is the winner of the Kentucky Derby was bought for $1000. You have a large backyard...
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Yep, I think originally for $1,000 then sold for around $35,000. But, yeah, I'm hearing you now. To the thread, though, I was hopeful to get many perspectives on many investments. As an example, it's possible to own real estate via pre-taxed IRA's. It's a pretty cool vehicle we've found.
 
I was invested in a REIT for about 20 years, with "reasonable success".

Disclaimer, I sold out my REIT about 7 years ago, so my info is dated.

Pro:
1) As you probably already know, the regular dividends. (mine were quarterly). I thought of the REIT as a CD, with possible benifits, (price increase). Regardless of the price of the REIT, up or down, REITs are required to pay dividends of at least 90% of pre-tax profit.

2) the REIT price swings fluxuated less than stock prices.

Cons:
1) In the 20 years, most stocks outperformed the REIT every year but one. 2008 stock prices dropped, but the REIT price increased, more than covering my lose to my stocks.

Not sure what to think about REITs today, this is a crazy market. Covid has hurt commercial real estate values. But, that may have created a REIT buying opportunity now?
 
barfo said:
Pretty sure they are building one from parts. ABM's wife has already acquired a horse's behind.

barfo
Click to expand...

I've always wondered why you keep sniffing around. Now I know the Paul Harvey version.
 
oldfisherman said:
I was invested in a REIT for about 20 years, with "reasonable success".

Disclaimer, I sold out my REIT about 7 years ago, so my info is dated.

Pro:
1) As you probably already know, the regular dividends. (mine were quarterly). I thought of the REIT as a CD, with possible benifits, (price increase). Regardless of the price of the REIT, up or down, REITs are required to pay dividends of at least 90% of pre-tax profit.

2) the REIT price swings fluxuated less than stock prices.

Cons:
1) In the 20 years, most stocks outperformed the REIT every year but one. 2008 stock prices dropped, but the REIT price increased, more than covering my lose to my stocks.

Not sure what to think about REITs today, this is a crazy market. Covid has hurt commercial real estate values. But, that may have created a REIT buying opportunity now?
Click to expand...

Thanks for that. Interestingly, in some areas, commercial real estate values/prices are still very strong. Truly, much of it depends on which part of the country you live in. And, yes, covid is a factor.
 
oldfisherman said:
....Not sure what to think about REITs today, this is a crazy market. Covid has hurt commercial real estate values. But, that may have created a REIT buying opportunity now?
Click to expand...

https://www.heraldtribune.com/story...t-trusts-worth-consideration-2021/4433505001/

Investors often purchase REITs for their dividends. Currently, due to the FED, it looks like interest-rates may stay close to historically low rates for several years. Thus, the difference between the two may not narrow, possibly increasing REITs desirability. Currently, the average REIT’s dividend is more than double the S&P 500’s and the 30-year Treasury bond.

Everything that could go wrong for REITs in 2020 did. This means, if the vaccine is successful and the pandemic subsides in the second-half of 2021, REITs will be undervalued and should have a strong recovery from depressed levels. Since the broad S&P 500 has largely already recovered, REITS have a reasonable chance of outperforming it by a few percentage points.

Additionally, per a Morningstar study, over a 40-year period, a diversified portfolio with a 20 percent allocation to equity REITs reduced portfolio volatility and provided an annualized total return of about half a percentage point higher than a portfolio with no equity REITs.
 
barfo said:
Aren't you a real estate professional these days? And you are asking us???

I've invested in publicly traded REITs. Wouldn't touch private ones with my 10 ft pole.

barfo
Click to expand...

Admittedly, I've only been a real estate agent since moving to Tennessee. I'm currently working in a relatively small space (gas stations / convenience stores) of the overall commercial real estate sector.

That said, I've been very much wanting to expand my sphere and overall knowledge of the profession - not only in commercial real estate, but in investing as a whole. That is why I've recently begun the Certified Commercial Investment Member (CCIM) program, with plans to be fully certified in the coming 2 to 3 years. I'm excited for the opportunity and know it will go a huge way towards helping me to be more successful overall in the business.
 
ABM said:
Admittedly, I've only been a real estate agent since moving to Tennessee. I'm currently working in a relatively small space (gas stations / convenience stores) of the overall commercial real estate sector.

That said, I've been very much wanting to expand my sphere and overall knowledge of the profession - not only in commercial real estate, but in investing as a whole. That is why I've recently begun the Certified Commercial Investment Member (CCIM) program, with plans to be fully certified in the coming 2 to 3 years. I'm excited for the opportunity and know it will go a huge way towards helping me to be more successful overall in the business.
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By the time you finish your CCIM program you're going to be so old that you have to walk with a cane.
 
Lanny said:
By the time you finish your CCIM program you're going to be so old that you have to walk with a cane.
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Well, my folks lived into their 90's, so I might be a'ight.
 
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