Remember back in the spring, when the pandemic was just making its presence felt? Many of us thought that this would put the housing market on hold, or – at the very least – depress prices. We couldn’t imagine marketing homes in the middle of a pandemic, much less entering into a contract to build new. Yet, in fact, seven months on, that has not turned out to be the case.
Continue reading “New Home Construction Shows Greatest Increase Since Recession”
Real estate debt funds are relatively new players in the investment field, having blossomed in the wake of the 2008 financial crisis. Traditionally, investors have been recommended to look at a blend of investments, including equities, with a view to realizing capital growth over the medium to long term. Yet, real estate debt funds now form the core of many portfolios; in his blog post, Private Real Estate Debt: The Pandemic’s Impact and the Industry’s Future, Craig Solomon, CEO of Square Mile Capital writes:
“Private lending has been one of the standout growth stories in private real estate over the past decade… the industry stands at $190 billion in aggregate assets under management…” Continue reading “Add Real Estate Debt Funds To Your Private Investment Portfolio”
Real estate debt funds first emerged in the wake of the 2008 financial crisis, providing an efficient way to connect lenders with developers needing short-term capital for a range of commercial real estate projects. Following the crisis, traditional lenders tightened regulations and liquidity requirements for borrowers. Banks were resistant to offering loans for commercial real estate and, if they did offer loans, they placed greater focus on income and cash flow than on equity and assets. Real estate debt funds were able to service a small but potentially very profitable niche market.
Continue reading “Real Estate Debt Funds: An Investor’s Guide to Higher Returns with Less Risk”
