My take on the real estate market (hint: it isn’t just buy and hold—it’s also when to wait)

I’ve always believed in steady, disciplined investing—adding one or two properties a year by reinvesting cash flow. But over the past couple of years, I hit pause. Here’s why.

When the Fed began aggressively raising rates to fight inflation, I was concerned they’d overdo it and tip the economy into a recession. That didn’t happen—but the uncertainty alone made me cautious.

At the same time, a couple of unexpected vacancies tightened my cash flow. I stick to a reinvestment discipline rooted in actual cash performance—so without surplus income, I held back.

Then came rent control discussions in several of my target markets. That was another yellow flag. When regulations start to skew risk-reward dynamics, I take a step back and reassess.

Meanwhile, commercial real estate was sliding. Rather than chase residential deals at peak valuations, I waited—expecting more attractive opportunities to emerge in commercial, where distress tends to surface slower and deeper.

One principle I stand by: it’s often smarter to buy when rates are high—because that’s when valuations tend to drop and cap rates rise. Then, when rates eventually fall, you’re well-positioned to refinance and ride the valuation wave up.

I haven’t stopped investing—I’ve just stayed patient. And now, with rates stabilizing and more pricing flexibility in the market, I’m starting to look again.

The pause wasn’t fear. It was strategy.