What will happen to the SFR market?

[Account Closed]

Home prices are beginning to either level off or come down depending on your area. Here in FL I'm seeing appraisals come in lower than expected.... There's volatility in the stock market which generally is the first indicator of a recession on the horizon.

I am hoping for a mild one, but preparing for a tough one.

That said, unlike the early 2000's, many folks gobbling up single family residences have been investors this past decade. As people lose jobs they will inevitably be unable to afford to pay the rent. This increases turnover and the pool of qualified renters shrinks.  

If you're holding a bunch of single family rentals how do you game plan for this? Is the response to simply ride the wave and minimize the effects on your cashflow to the extent possible? Basically hodl your way through the storm? Is it to reduce rents and potentially operate at a loss? 

I don't think we have seen a real estate market quite like the one we are seeing now where so many investors own so many single family residences that may have otherwise been under mortgage by the occupant, but are not due to credit or cash issues, or both.  

Sorry to be a debbie downer but would really like to hear your perspectives. 

[Alexander Felice]

How should I prepare for an unpredictable, theoretical event of unknown proportion and timing, with little to no supporting evidence?

I've sold all my assets and used the cash to buy guns and ammo and prepare for the inevitable doomsday, OBVIOUSLY.

jk jk jk

I'm gonna keep buying houses on good terms, with lots of risk mitigation, and I'm going to do it as fast as I possibly can. Meanwhile, this post has been made 3x a day for the last 4 years on this site, If I listened to these predictions I would still be broke, waiting on the sidelines for the crash while everyone passed by me while getting rich.

OP - you don't know what the market will do, stop having PTSD about the past. Make decisions for growth based on solid fundamentals. The key isn't to hunker down, the key is to grow as fast as possible. Resources get your through downturns, collect a ton of them while you can.