Downhill from here?

Real estate investing has always been a competitive marketplace. However, knowledge is most certainly more ubiquitous with the introduction of focused internet content and easy access to learning. As a result, I have not been able to make any numbers work for the past few years on new investments.

A few observations: 1) Profitable deals are rare in this era. 2) People must be investing off of potential prospect and Pro Forma numbers, rather than last 3 years. 3) You need a ton of cash to come in with to offset high interest rates and overinflated gross rent multipliers, which at that rate you might as well save your time and do stock market investments with those ROI’s.

A common response is “the deals are out there, you just have to look harder for them“ is a disservice to the reality we are in. It feels there is something in the air where people are either overextended or numbers are propped up. Is the new “meta” assuming it will be profitable in 3-5 years? If this is true, then I have missed the train.

Edit and disclaimer: I own and operate multifamily in 2 states, Midwest. Appreciate comments and others’ experiences as always -