A short YouTube interview (host Will Humphreys) focused on real-time investment advice about commercial real estate and interest rates. The guest argues current interest rates are "very fair" compared with recent anomalously low levels, suggests buyers should focus on the right property and can refinance later if rates fall, and frames historical rate swings as normal market movement.
Chapters
Talk about real time investments for people who are like, yeah, but aren't interest rates rising? What do you say to those people who are in a position where it would probably make sense for them to own a building, but like they're concerned about the market?
Yeah, that's great. So here's what I tell you. Interest rates are now are very fair. You know, if you, if you had to compare them where they were four or five years ago, that's the lowest they've ever been in the history of interest rates. You know, if you look at a historical chart of the last 20, 30 years, like, you know, the markets go up, markets go down, rates go up, rates go down. You can't anchor to where they were three or four years ago being. Because that was an anomaly. You know where they're at today. I mean, if you're purchasing commercial real estate, you know, to get an interest rate like at, at maybe five and a half, six, six and a half percent, even seven, like that's still a very fair interest rate. If rates are higher than you want, you still transact, you still buy the right building at the right time and then you just simply refinance it. I mean, if rates come down in six months or a year, then you refinance it.