'Obamaville' sign posted near homeless camp

[Topspin]

The thing is Top as you know when a market goes to hell that is when bargins can be found. Look at Sam Zell for instance. He became a billionaire by buying when the market was at its lowest. So if there is a group you know of that has cash and is out looking for bargin opportunities it could be a worthwhile investment.

nah, I way smaller time than that.

outside my 401k which is 50/50 oil and s&p 500, I have an ameritrade account I play with that only has about 100,000 in it. I buy reit indexes, appl, and a few other stocks just playing around. No where near big enough to make large real estate investments.

 

[PostmodernProphet]

The point is... ANYONE can get into these REITS at 'ground zero' as you stated. You can buy in at $10 a share before they even buy their first property. Or you can wait until they have bought properties and then STILL buy in at $10 per share.

He appears to be confusing a TIC with a REIT. They are not the same investment.

Obviously you are correct in that there is no guarantee of return on investment. Just like every other security out there, there are risks involved. Hell, even CD's have risk (though many people who buy them are unaware of this important fact... amazing the Banks don't tell them the pro's and con's of buying CDs)

I'm sorry SF, but there are no REITS that can be bought in by "anyone" that are good investments......if there are bargains to be had they don't need "anyone"......they are done by insiders......the REITS that can be bought by "anyone" are being put together by the insiders dumping their profits, selling what they have already put together at a much lower price......and selling it to folks like you.....

 

[cawacko]

I'm sorry SF, but there are no REITS that can be bought in by "anyone" that are good investments......if there are bargains to be had they don't need "anyone"......they are done by insiders......the REITS that can be bought by "anyone" are being put together by the insiders dumping their profits, selling what they have already put together at a much lower price......and selling it to folks like you.....

This doesn't make any sense. You are acting like REIT's build their portfolio, go public and then stop doing anything.

REIT's build a portfolio, go public and then grow that portfolio.

 

[Topspin]

Preacher is a dumbass,
reits have gone years at a time with double digit returns

 

[Cancel 2016.2]

I'm sorry SF, but there are no REITS that can be bought in by "anyone" that are good investments......if there are bargains to be had they don't need "anyone"......they are done by insiders......the REITS that can be bought by "anyone" are being put together by the insiders dumping their profits, selling what they have already put together at a much lower price......and selling it to folks like you.....

LMAO... ok... I thought you were simply confusing TICs with the REITs I mentioned. Now I see you are simply an idiot who has no comprehension when it comes to REITs.

There are FOUR links above to REITs that anyone can get into. Those companies average returns are in double digits (not an indication of future performance). Again... ANYONE can get into them PRIOR to the first property even being purchased.

Bottom line... you have no clue what you are talking about on this topic.

 

[Cancel 2016.2]

http://behringerharvard.com/

https://www.kbs-cmg.com/

http://www.colecapital.com/

http://www.gbe-reits.com/

Above are the four links I mentioned....

 

[cawacko]

Preacher is a dumbass,
reits have gone years at a time with double digit returns

Exactly. There are REIT's that have been around 20 to 30 years. I'm not sure where he's getting this idea that REIT's build a portfolio from scratch to bring public and then just let it die.

 

[PostmodernProphet]

lol....okay boys.....invest in REITs......I really don't care what you do with your money.....but, if you really want to make money on real estate, go out and buy real estate.....

 

[cawacko]

lol....okay boys.....invest in REITs......I really don't care what you do with your money.....but, if you really want to make money on real estate, go out and buy real estate.....

how are REIT's different than any company then? Any company that goes public has shareholders that got in on the ground floor at say $1 or $2. The company goes public at $15 and everyone insider bails out of the company and anyone who invests in the IPO will never make money?

 

[Cancel 2016.2]

lol....okay boys.....invest in REITs......I really don't care what you do with your money.....but, if you really want to make money on real estate, go out and buy real estate.....

That is precisely what REITs do. They take cash and go out and buy properties. The reason people use REITS is that most of them do not have $5-100mm to toss into one property. They want a diversified portfolio of commercial properties.

Yes, some people will invest in the residential side and make money either through rental income & appreciation or fixing and flipping. Others wish to DIVERSIFY into the commercial side of real estate.

The main point is this... Don't disparage a type of investment simply because you do not understand it. You flat out made up a bunch of fear mongering bullshit with regards to the REITs. You have NO basis for your claims. You refuse to look at products that show you that you are wrong. Given your attitude towards REITs and lack of knowledge on them, I seriously doubt you have the experience in real estate that you claim to have.

 

[Cancel 2016.2]

how are REIT's different than any company then? Any company that goes public has shareholders that got in on the ground floor at say $1 or $2. The company goes public at $15 and everyone insider bails out of the company and anyone who invests in the IPO will never make money?

well you see... real estate values just suddenly stop going up after an IPO. Rental income ceases to exist. As soon as the portfolio IPO's all the renters simply move out to the new properties... because you see... they are continually making land and magically cramming more buildings on top of those that use to be in the REITs. THAT is why they lose so much value.

Add in the fact that the developers of the REITs are able to simply value their properties at any value they want and that is why they IPO for way more than they are worth. Other real estate investors aren't smart enough to understand what the true value of those properties are.