What’s happening in real estate now?
Check out some of the latest real estate news headlines and related updates…
Fund Billionaire Flips Unit For $190M
Billionaire Dan Och recently re-sold one of his properties for $190M, after buying it for just $90M in 2019. That’s a pretty long flip, but again reveals what many hedge fund managers, stock brokers and big tech CEOs are really doing with their money. Instead of putting their earnings back into stock in their own ventures, they are taking their commissions and bonuses from selling one thing to the public, and are putting it into real estate.
Yes, They Are Making More Land
One of the most commonly regurgitated myths in real estate is that they aren’t making more land. It is a saying frequently used for promoting high priced properties in areas investors may not otherwise invest.
In reality, we’ve been making more land for many decades. Billions are repeatedly spent on trying to restore beaches after erosion. China and the UAE have been building man made islands to build luxury real estate projects on the water. It won’t be long before we are divvying up real estate on other planets.
Now it is being proposed that Manhattan is extended into the New York Harbor by over 1,700 acres, to make room for 180,000 plus new housing units. That’s despite hundreds of millions of square feet in existing real estate that may now be going empty.
It may be worth thinking twice before buying what is advertised as prime real estate in the city, or on the waterfront for supped up prices. The landscape is changing.
It may be wiser to focus on performing real estate assets at better values, with more growth potential.
Australia Alienates The World With Mandatory Vaccinations
Those who had tried investing overseas in exotic destinations may now be seriously regretting their decisions. After arresting and working to deport the world’s top tennis player for only having proof of recovery from COVID, the country has passed a new bill that will make COVID vaccination mandatory for the entire adult population.
Australian police will be randomly stopping people to check their vaccine papers, and issuing fines up to $16,000 each year for anyone not vaccinated.
No matter what your stance on the subject, it appears that the country is completely alienating itself to the outside world. That can only have a negative impact on investment and the property market.
While investing out of state within the US can be smart, it is probably high time that investors rethought, and restructured any international investments.
You’ll Have To Have Mandatory Surgery Before Visiting Here
If you thought vaccine passports were restrictive, then this town takes medical requirements even further. Villas Las Estrellas in Antarctica requires all residents, including children to have their appendix surgically removed before arrival.
It is so remote, and such a common issue, that they simply don’t want the liability.
US Real Estate Trends
Overall, the 2022 outlook should see recent trends in rocketing rental rates and house prices increasing. However, there are pockets of the country with oversupply, and which have become unattractive to buyers for a variety of reasons. Bloomberg sees NYC and Chicago as the two US cities which markets hold the most risk in 2022.
It may be wiser to seek out investments in areas with stronger fundamentals, and more growth potential.
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