Be greedy when others are fearful?

Many buyers feel that waiting for prices to go down more in this "uncertain market" may deliver the one thing almost every buyer dreams of….. A Bargain!  Whilst the view from the sideline may seem safest, there is a lesson to be learned from the big institutional real estate investors.   Blackstone recently secured over $50 billion for opportunistic real estate investments across the globe. This is just one example of this type of institutional money on the sidelines waiting to pounce. There are many others, all loaded with billions of dollars, waiting to buy real estate.   Do I agree with having large institutional, cash-rich investors - not just Blackstone - outbidding and competing with first time home buyers? That's a whole other story. But today I want to focus on why these companies see opportunity while others may not. BIG MONEY views the BIG PICTURE While others freeze up in times of uncertainty, Blackstone is being proactive, seeking out opportunity. And preparing for it in advance. While others react, Blackstone ACTS. They are looking at the big picture, long term, not focused on short term bumps. Blackstone possibly sees value in even slightly discounted buys...why? They fully understand replacement cost. Something built 3 years ago would probably cost 20-25% more to build today.  This almost automatically implies long term upside. Blackstone looks at data: the data shows massive under-building. Under supply that takes years to resolve almost certainly guarantees future upside as demand will outstrip supply for many years to come. Blackstone is a committer. And yes, they may be taking advantage of those who fear commitment. Those people do so at their own peril.  Maybe knowing all this, you may not wait as long as some seeking prices to go lower, lower, lower..... If Warren Buffett sees enormous opportunity in buying stocks at "15% off discounts", I think you have the answer.  "Be fearful when others are greedy, and greedy when others are fearful.”  -Warren Buffett Are you, or someone you know, ready to make a move?  Let me know - I can help. marketingcenter-sfbayarea-sfcityproper