There’s a lot of uncertainty in the world right now, as financial markets are in upheaval and unemployment is surging. It’s easy to look around and panic, unsure what will happen and what you can do about it.
In the midst of the uncertainty created by the COVID-19 pandemic, we decided to turn to our investors to get a pulse on what they think of the current state of the market, their confidence in the future of real estate, and their readiness to invest.
Investor Confidence in the Real Estate Market Amid COVID-19
We surveyed 80 members of the Goodegg Investor Club – passive investors with quite a bit of experience analyzing and evaluating real estate syndication deals.
Of those, 39% believe that even despite the current COVID-19 pandemic, the real estate market is ripe with opportunity. Even with the ups and downs they’re seeing in the stock market, these investors believe the market remains strong and that opportunities are out there if you’re looking in the right places.
On top of that, 29% believe that the market needs a bit of time to recover but remain confident that opportunities will begin to arise as the coronavirus pandemic eases and things start to get back to normal-ish.
That means that the majority of those surveyed believe that great real estate investment opportunities are still out there or will be peeking out soon. That’s why it’s so important for you to take this time to educate yourself and make sure you have clarity on your investing goals, so that when the opportunities arise, you can pounce on them.
"Late 2nd quarter & definitely 3rd quarter of this year should deliver more and more attractive and appealing investment opportunities."
Investor Readiness to Invest Amid COVID-19
It’s one thing to say that you’re confident in the market and another thing entirely to put your money where your mouth is and actually invest your hard-earned money.
This is why I recently invested $50,000 of my own personal funds into a real estate syndication, because I fully believe that great opportunities still exist, as long as you know where to look and you’re clear on your own investing goals.
Of the 80 Goodegg Investor Club members we surveyed, 36% are ready to invest passively in their next real estate syndication deal within the next 3 months.
An additional 32% are ready to invest within 3 to 6 months. That means that nearly 70% of those surveyed have capital ready to invest into a deal and are confident enough in the market to do it within the next 6 months.
"I feel like this is a good time for stable (potentially even just breakeven rather than value-add) investments in multifamily to create affordable housing for those who need it but also guarantee a steady stream of income. Would love to be part of something that is part of the economic recovery and helps others."
Conclusion
These results are in line with our sentiments as well, which is why we continue looking for great opportunities, because we know they’re out there and because we know that investors are ready to put their money to work for them through stable and recession-resistant value-add assets that will provide stronger and and more stable growth than the stock market.
If you’re considering investing in real estate but are unsure of the current state of the market, let’s talk! Start by applying for the Goodegg Investor Club, and we’ll take it from there.
