All Forum Posts by: Pedro Andrade

Scott, I really appreciate the level-headed and nuanced take here. Whether someone agrees or disagrees with the administration’s politics, it’s critical for investors to evaluate how policy decisions (or even just the anticipation of them) can shift fundamentals like demand, supply, and operating costs.

I’ve already started having conversations with both investors and accidental landlords in Florida who are recalibrating their expectations—not just about rent growth, but about timelines, holding strategies, and exit options. Many of them were surprised to realize how interconnected immigration, labor costs, and Fed policy are to the success of their real estate investments.

This post reinforces the importance of staying agile and informed. If these pressures continue, we might start to see more investors opting for long-term holds with conservative projections rather than banking on short-term appreciation.

Thanks again for sharing this—curious to see how others are positioning themselves given this outlook.

@Paul Azad 

Great breakdown. The big takeaway here is that the 10-year yield isn't just a reaction to inflation fears, but also GDP expectations and recession risk—which many people misunderstand.

The real question now is: Are we heading into a true recession, or is this just another market overreaction? If tariffs are the trigger for slower global trade, we could see further downside risk to GDP, but wouldn’t that also push the Fed toward rate cuts even faster? And if so, how do we balance the short-term market volatility with long-term opportunity?

The correlation (or lack thereof) between stocks and bonds is another great point—historically, investors see bonds as a ‘flight to safety,’ but recent years have shown that yields can spike even as equities dump. Makes me wonder—are we entering a market cycle where old rules just don’t apply anymore? Curious to hear your take.

Solid take, Clayton. I get where you’re coming from on inflation, but let’s zoom out for a second—if inflation isn’t the main concern, then what’s keeping banks from tightening up even more? You’re right that risk spreads are a huge factor, but if volatility stays high, wouldn’t that keep banks from easing up, even if the 10-year flatlines?

Also, if foreclosures are climbing, doesn’t that create a secondary problem? More distressed inventory should, in theory, put downward pressure on prices, but if lending stays tight, do we just see a liquidity trap where homes sit longer and price drops don’t translate to affordability?

Would love to hear others’ thoughts—are we really looking at a rate relief scenario, or are we underestimating how sticky volatility might be?

@Ryan Coon 

Thank you for such educated answer. 

I am not giving legal/moral advise here, but yes there are companies out there that will sell you all the data you need and there are tools you can use to reach out and follow up with prospects

Love this breakdown, but let me play devil’s advocate for a second...

Lower 10-year yields might push mortgage rates down for now, but isn’t that just a temporary sugar rush for the market?

If instability keeps driving money into bonds, what happens when inflation resurfaces or global markets react? Are we just setting the stage for another whiplash effect when the Fed has to course-correct again? And how will banks respond in the long run—will they keep mortgage rates low, or will they price in the volatility with wider spreads?

More liquidity in the market sounds great, but are we overlooking the long-term consequences? Would love to hear others’ takes on this. Are we riding a wave, or is there a storm brewing beneath the surface?

The recent tariffs on construction materials are already shaking up the real estate market. With steel, aluminum, and other essential materials facing price hikes, new construction costs are rising 3-5%. This means higher home prices, delayed developments, and a tighter inventory.

For real estate agents, this shift could mean fewer buyers chasing new builds and more demand for move-in-ready homes. The key? Educating buyers on financing options and helping them see the value in existing properties.

For wholesalers, rising renovation costs are squeezing margins on flips, making it essential to negotiate deeper discounts and focus on rental investors who want cash-flowing properties. Creative financing and off-market deals will be more valuable than ever.

💡 Opportunity is knocking. Those who adapt quickly will win big. Are you shifting your strategy to stay ahead of the market? What changes are you seeing in your area?

A hybrid pricing structure strikes the right balance. Instead of tacking on endless fees, we set a clear minimum and maximum cap. This ensures landlords know exactly what they’re paying while allowing us to run a profitable business without underpricing our services or constantly upselling.

This approach not only protects our bottom line but also gives investors peace of mind, knowing their property management costs are predictable from day one

I agree with all the comments telling you that this is your PM responsibility. 

it sounds like the PM is trying to send you the hot potato because he/she does not know how to handle the situation. 

As @Chris Seveney mentioned all responses should be in writing and to the point, the same letter that explains why you put a claim on his/her deposit. 

Many landlords don't realize that keeping a rental off the MLS can be a massive disservice. Some property managers avoid listing on the MLS just so they can keep 100% of the leasing service fee, but this often leads to longer vacancy periods and lost rental income. A few extra weeks of vacancy can cost landlords thousands—far more than they thought they were saving.

this is exactly what happened to a new client who reached out after having his property managed by an ultra-low management firm (5%) who was using only Zillow to Advertise the house and stay vacant for 199 days. They have to make up for that lost revenue somewhere, and it’s often in ways that hurt you—higher leasing fees, excessive renewal charges, or subpar marketing that leads to longer vacancies.

Have you ever hired a “budget” property manager thinking it would save you money, only to regret it later? Share your experiences—I’d love to hear how it turned out.