/biz/ - Business & Finance

>>4589425
Everything is in a bubble right now so it is hard to tell which dominio will fall first. Stocks, cryptocurrencies and real estate are all overspeculated

>>4589485
>mfw I realize the best time to invest in something is after the bubble crash
>mfw we're probably near the highest point of a bubble and we don't know when it will all go down

>>4589425

You're a fucking Cuck if you aren't reinvesting crypto gains to do this like crazy.

Millennials are buying. Boomers selling mad in big west coast suburbs.

Easiest money you will ever make. Literally only limited by how much you can invest to flip more.

Selling two in my inventory this month. Profiting $40k on each. I've held them both barely five months.

Not now but soon. Real estate will crash either next year or the year after and will take the stock market with it as usual. Crypto will most likely enter a long bear market as well but it's hard to be certain of that.

>>4589485

>this
>this
>this
>this

>>4589520
So be like me and use crypto to accumulate more cash, consider some precious metals as well, and be ready for the big dip.

>>4589554
How do I get started with real estate investing though? What if I only have 50k in the bank? Is paying a down payment and getting a mortgage for one of these houses worth it?

Bought my first house at 167,000 sold at 217,500 and kept profit tax free. 2 years rule.

Reinvested in a 300,000 house and I'm about to list it for 380,000. Buying the parents 600,000 house for 325,000 with an agreement they can live in the farm house forever.

Not sure if I should sell my duplex or not yet. These markets scare me.

Where I live you could buy a shitty house outright for 50k, fix it up and resell it for 2x. Would suck to get stuck with that during a crash though.

>>4589425
> mfw we will have a housing crash and crypto crash at the same time

>>4589696
>>4589717
You people have a lot more money than me...
But the lack of liquidity in real estate kind of scares me. Stocks and crypto are much more comfortable.

>>4589554
>Millennials are buying.

They can't even afford their student loan payments and you think millennials will buy a house?

>>4589746
>lack of liquidity

if you're in a major US city then there's chinks lining up the block with cash in hand ready to buy. I live in NYC and it's fucking crazy how quickly houses are going. Fucking asians man, an 800k house is up for sale 2 days before some asians buy it for cash. Same thing in Canada I've heard, their housing market is way overvalued because of the asians trying to get their money out of CHina

>>4589485
This
The next recession will be a fucking doozy

>>4589795
I see...I might be moving to Korea soon so maybe that wouldn't be an option for me.

However, I've only got 50k to my name so I don't think I stand much of a chance here.
Also it still seems like a gamble. If I managed to amass 200k somehow over the next few years and bought a house with it, there's still a huge risk that the market crashes and I lose all my money, isn't there?

How could I handle that risk with the lack of liquidity? With a stock or crypto, I set stop losses and it's easy to make money, but with real estate it actually feels much more risky..

>>4589520

>>4589841
Google REIT
Might be what youre looking for.

The best course of action I see is just accumulate money and then buy the dip when the recession hits

Hindenburg Omens are peaking.

>>4589947
Ah yeah I've heard of REITs but I've heard the returns for them are usually terrible.

I'm envious of the guy claiming to buy houses at 167,000 and then sell at 217,500 or 300,000 to 380,000. If the returns are that incredible, do I just need more money to get started in this? Or should I go with a down payment and a mortgage to try and get started with only 10%, which is what I could afford now.

>>4589947
>buy the dip
How much money, realistically, would I need for that?

And if everyone is trying to buy the dip, because they all saw what happened last time, how is there still a dip?

>>4589986
That image is terrifying.

>>4590008
What if the "dip" is the start of the next crash?

>>4590019
>>4589986
>>4589930
>>4589964
>>4589904
>>4589864
If all these signs of bubbles are so obvious, why do bubbles develop?

>>4590055
Ok but if everyone is trying to buy the bottom of the crash, why does it still crash? People panicking?

>>4589979
No idea who told you REITs have bad returns. It depends on the real estate market. STAG has almost tripled in value since 2011 AND gives a 5% dividend which is actually really really good.

Depends on your credit but in my experience no bank will give you a mortgage unless you have at least 20% of the value of the house as a down payment. Makes my life living hell, I cant buy a house where i live till I have like 200k in cash saved up

>>4590008
>if everyone is trying to buy the dip
do you not remember 2008? Or 2000 or 1988 I think it was. Normies panic sold and "lost" their retirements This will happen again. Normies dont know to buy the dip. Normies panic sell the dip.

>>4590055
Also on a macroeconomic scale, dips dont happen so quickly. Dips are more like recessions which last a good 1.5-2 years from when stocks start falling till when they bottom out. If you had a job then you will end up dollar cost averaging in every month for the whole year or two that the market is tanking.

>how much money do I need
wat. what does that even mean. invest as much as u want/can. It's just % gains......

>>4590072
Disagreement about where the bottom actually is, continued selling

>>4590076
>Depends on your credit but in my experience no bank will give you a mortgage unless you have at least 20% of the value of the house as a down payment. Makes my life living hell, I cant buy a house where i live till I have like 200k in cash saved up
Where the fuck do you live? Vancouver? Sydney?

>>4590057
There are always fresh young people have no experience losing money in the previous crash.
And there are some older people who never learn.

>>4590105
NYC

Eight times as many junk bonds now as compared to the last bubble.
Nothing to see here. Move along. Everything will be fine.

Here you go faggots.

>>4589425

Welcome to FUDDIT, the ugly step sister of REDDIT.

>>4590076
So the guy saying he bought houses at 300,000 and sold at 380,000 probably took months or even years to do that?

That's what kind of confuses me, since I'm so used to just trading stocks and crypto. Is 300% since 2011 considered good, then?

I'm assuming higher liquidity = less gains, but real estate just seems so risky compared to equity and crypto because there's less liquity. Am I wrong in thinking it's more risky??

>how much money do I need
I have about $50,000. So if I want to invest in real estate, I was asking if I need to save up more to actually buy a decent house and try to flip it. But you're saying to just use the $50,000 for REITs, right?

I see about the 1.5-2 year dips though. So this isn't very fast paced at all.

>>4589425
We might be getting to that point. I'm still in the market to buy because even if it goes down I'm going to live there for long enough to see it come back up.

Hope has never been so far ahead of reality!

>>4590171
just google a chart of SPY, zoom in on 2008-2009 and youll see how stock markets move. It took a long time for stocks to bottom out.

300 to 380k for a house, yes it probably took months maybe even a couple years for the to happen. Houses dont move that quickly. My parents bought our house 20 years ago for 160k, its worth 800k now. That's 20 years tho.
Usually lower liquidity=less gains. Housing is less risky because people always need houses, it will never go to 0.

No dont put 50k into REITs. Idk where you are though and what the average price for a house is there. You need 20%+ of the cost of the home. Figure out is homes are 250k or more in your area.

>>4590171
Bought first house in 2014 then sold in 2017. Bought this 300k house in April 2017, put some money into it and now I'm selling under market value at 380k. The whole reason I was asking the question is because where I live everything is skyrocketing and I don't get why.

>>4590228
>lower liquidity = less gains
I'm sorry, isn't it the opposite?

>>4590260
I live right now near Philadelphia, in a place where real estate is already really high because there are good schools, but I'll probably be moving to Korea soon.

Every adult here (I'm 22) was trying to convince me to invest in real estate the other day and I became really weary of it. I've been trading crypto for about a year now and made all my money on that so I'm comfortable with that.

The lack of liquidity in housing, meaning I have to wait days to sell something, scares me in the event of a crash...

>>4590264
yes youre right, generally. I got confused for a sec

>>4590260
>everything is skyrocketing
Ultra low interest rates for 10 years mean people can borrow gigantic amounts of money (relative to their income) and use all that new debt-money to bid up the price of houses into the stratosphere.

>>4590317
>meaning I have to wait days to sell something, scares me in the event of a crash...

bruh how fast do you think house prices move??? Do you know the process to buy a house, to complete the paperwork, lawyers, closing, etc? That shit takes like weeks, sometimes month. Houses dont crash overnight. They "crash" over the course of a few years

>>4590349

An anon above said these pictures are terrifying.

I feel precisely the opposite.

>>4590363
I must be desensitized to the fast paced market movements of crypto but...if that's the case then I'm not sure it's really a better investment than just trading.

I guess if it's really lower risk..though it doesn't feel like it is, then maybe it's worth it. I suppose I can see that argument being made for it really.

>>4590387
Why?

>>4590387
tfw havent accumulated enough USD to buy the dipppppp

>>4590428
nothing moves like crypto. Amazon and Apple have had a ridiculous bull run and it took them 20 years to make the gains that BTC did in 1. You are extremely desensitized. As for if it's a better investment...it is until it isnt. Crypto wont run like this forever

>>4590497
Ok that makes sense. It's disappointing to know that I missed so much potential profit in crypto by only trading parts of my portfolio over the course of this year instead of taking advantage of everything. I could have just gone all in on BTC and made much more.

But real estate feels like you're putting all your eggs in one basket, so to speak. Is that not concerning, or is it considered such low risk that it's worth it?

yield curve is flattening again.

>>4590564
Usually people say real estate is the safest investment but times have changed and I really dont know. Millenials here in america are too poor to afford a house so it should crash, and yet there are so many Asians are pumping up our market that this could keep going. But for how long? I can't call a top on real estate the same way I cant call a top on BTC. I can't help you, really. But if you're planning to move to Korea then there's no point is essentially leaving your money tied up here.

>>4590623
I think Korea's real estate is even worse and in a bigger bubble.

>>4590671
then dont buy real estate lol. Or wait for the dip patiently with cash in hand. Did you look at a 10 year SPY chart? Imagine you put 50k in close to the bottom, you wouldve 4xed your money from then until now. I know that sounds slow because you're used to crypto but it's really really REALLY good for stocks.

Thinking about to go into law school. If the economy tanks, so do law jobs.If real estate tanks, would I be able to make money by charging people a few thousand in cash to flood bankruptcy court with paperwork so they can stay in their houses?

>>4590766
I see...yeah I'm looking at the SPY and I see that. I mean compared to that I can see why real estate looks like a decent investment and probably has less risk like you said. That does make sense. Ok I'm going to do what you said. Basically trade as I do now to accumulate cash and then be ready to go deep into a big dip in either real estate or stocks in the event of a crash.

>>4590848
good luck buddy

>>4589648
It depends on a lot of factors. With 50k you have enough for a down payment on a cheap home but you need to consider repair costs (which can sometimes be worked into the mortgage) and the monthly costs (mortgage payment, insurance, taxes) and how fast you can move it on the market. Zillow has some basic information on wether markets are "hot" (moving lots of home sales). If you plan on pocketing the profits instead of reinvesting then you need to also consider the capital gains tax which is a big tax that can make many deals not worth the hassle

>>4590923
Thanks you too.
>>4590954
I'm aware I guess, and all that just makes me think more and more that the entire system is designed to make everybody who works along the way rich and ultimately minimize my returns as the person taking on the risk.

I will seriously look into it when I have enough cash that I need a way to preserve and gradually grow value with less risk, but for now I'll keep trying to grow that cash with trading/crypto. thanks for the information.

>>4589979

Would advise to save at least 20% before committing to a mortgage to get the best rates

>>4591044
Ok thanks.