Real estate investors were buying with a very low potential return (cap rate). Why?
Because interest rates were low.
These investors thought that it was ok that cap rates were low because they could just keep increasing the rent to make money.
But now in 2023, there’s a BIG problem for investors – rents are going down.
And this will push cap rates even lower, causing an even bigger firesale among real estate investors…
Especially in cities like Austin, Los Angeles, Reno, San Antonio, and San Diego.
Are you seeing lower rents in your city yet?
—
JOIN as a Reventure CHANNEL MEMBER:
https://www.youtube.com/channel/UCVTQunGrE3p7Oq8Owao5y_Q/join
#HousingCrash #housingmarket #rentalproperty #realestate #realestateinvesting #realestateinvestor #housingcrisis