JF3429: Market Volatility and the Most Dangerous Game in Real Estate ft. David Meyer

In this episode, host Joe Cornwell is joined by David Meyer, a real estate investor who serves as VP of data and analytics at BiggerPockets. David discusses current market conditions and trends, the dangers of sitting on the sidelines, and what he’s buying now and why. 

Key Takeaways:

• The Great Interest Rate Debate — What He’s Seeing: Mortgage rates likely won't continue falling linearly, as hoped, in 2024 due to factors like record-low affordability, inventory shortages, and sluggish sales. Some demand and supply improvements are happening slowly, but no big shifts in market dynamics appear to be coming over the next few months. While bond investors expect further rate cuts, we may see more volatility first before rates can meaningfully decline again.
  
  
• The (Dangerous) Waiting Game: Trying to time the real estate market is dangerous and near impossible. If rates fall again, competitive conditions will return, erasing affordability gains. Rate declines are expected to be slow. Even a small decrease may spur lots of new competition and higher prices. So while tempting, waiting for the perfect entry point doesn’t necessarily guarantee better affordability or opportunity.
  
  
• The Midwest Resurgence: David is currently focused on acquiring small multifamily and single-family rental properties in the Midwest, bullish on the region long-term even as others eye the Southeast. “I think in 10, 20 years, we're going to see a resurgence in the Midwest,” said Meyer. “And I want to get into it.”

David Meyer | Real Estate Background

• VP of Data and Analytics at BiggerPockets
• Portfolio:
  • Rental properties and one lonely STR in Colorado
  • Passive investor in multiple multifamily syndications

  • Lending funds

• Based in: Amsterdam, Netherlands
• Say hi to him at: 
  • LinkedIn
  • BiggerPockets — where David's new book, Start with Strategy, is now available.
• Greatest Lesson: Not outsourcing things quickly enough and trying to do everything himself.

 

Sponsors

BAM Capital