Looking back over the last 10 years it occurrd to me that it is always a good time to buy something. Right now stocks are high,gold is high,commodities are going higher. I tell everybody I meet that is renting that now is a good time to buy, and I believe it is. My problem is I don’t need (nor can I afford) 2 houses. So I’m thinking REIT would be the next best option. 6 years ago when gold was low I wanted to use my 401K to buy some, but not allowed. Now I would like to use my 401K to buy REIT’s, but not allowed. I don’t want to be a landlord, but I do want to make some money predicting the next bubble. I’m guessing as the dollar starts it’s slide that lots of foreigners will be coming to the US to live, hence a replay of the Japanese real estate buy up of the 90’s only this time it will be everybody except the Japanese. Anyone know of a good REIT that was started after the housing crash and hence would not be burdened by previous bad investments?
But, there has already been a big run-up in REITs, particularly apartment REITS.
An example is REZ (a REIT ETF).
This bottomed in 1Q 2009 and has nearly tripled since then. I happened to have purchased somewhat later (Nov 09) and it has run up almost 60% since that point.
I think the easy money has already been made in apartment REITS for this cycle. Don’t know about commercial REITS, but they’ve had a signifcant run since the bottom as well.
Yes I believe you are correct, and as if that needed reinforcement there is a flip house around the corner from me that has sat on the market for close to a year now. Amazing! Well on another front I guess I will stick my toe into the refi thing again. Money saved is money earned.
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