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August 17, 2021

Small Real Estate Landlord

by Bob Schwartz

Small Real Estate Landlord

It’s  a lot worse for small landlords and mom and pop investors!

This should never have been pushed onto the shoulders of landlords. It is unconstitutional.  I said before, but I guess I should say it again, what the government did here is pure socialism at work think about it, this is a welfare country, why put this burden on individual property owners, when renters who needed assistance could’ve just applied for a special welfare program where they would owe all the money back to the government instead of individual landlords having to try to collect after the tenants disappear!

There is a link to one of my first (March 20220) posts about these eviction bans. Real Estate is not easy and there really is no such thing as a quick deal flip. That quick flip that does happen is a byproduct of many years of experiences which account for many real estate disaster and nightmare stories. Unfortunately, we will have more and more of those landlord nightmare stories very soon.

Small Real Estate Landlord

Eviction Ban - Small Real Estate Landlord

Small Real Estate Landlord

As of now Congress is holding roughly 44,500,000,000 in eviction moratorium capital. Every month more and more landlords are losing money and the amount is calculated not in the millions per month but in the billions per month. This is also supported by more fear and more concerns around the state of the economy.

Maxine Waters told landlords that if they need money, don’t wait for congress, go to the bank and take out a loan.. So take out a loan, pay for a mortgage broker, pay interest and maybe you will get paid back.. All this time landlords thought they would be paid back and now they are learning that these landlords may not be paid back, ever and they will have to take out big loans for the time being which could threaten their ownership of the property. This will equate to what I think is the biggest problem that small time landlords are currently facing.

What do you think about this? Do you think that most small time landlords will be able to whether this storm if it continues for much longer? What if these investors and landlords lost their jobs and no longer are qualified for a mortgage. Do they then just have to submit and sell their home to a big corporation? This to me is why housing, real estate and property investing just flipped for small landlords. It went from a sure thing don’t worry about it to a never ending nightmare with no upside and all downside.

Small Real Estate Landlord

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Sure as a real estate professional in San Diego California, you most probably have a website. But take a look at it take a look at the traffic you’re generating from that website. From my own analysis the majority of San Diego real estate websites just generate a couple of hundred unique views per month. To even have a chance of gaining one new client you need tens of thousands of unique views.

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