Christopher Linkas on the viability of passive investment

Investing in real estate is probably one of the most misunderstood investment niches. However, Christopher Linkas, an investor in this specific niche is indisputably the most enlightened person in real estate investment. His knowledge in this area stretches back in early 1990s as a Bowdoin College fresh graduate. In the current financial investment, it is without a doubt that housing is the most lucrative area an investor can invest. However, it is a double-edged sword.

Single-family rentals are attractive to many new investors. The investment pundit, Christopher Linkas views this as a bad investment move. He points out that the single-family rentals first lacks a viable cash flow. Any investment without a sustainable cash flow in the housing market according to him is not worth risking. Second, compared to other forms of investments in the housing economy, Christopher Linkas, views it as a move with excess risks. The risks factor is not forgetting the fact that as a market, it lacks the economies of scale. These factors make it one of the riskiest markets to invest according to him.

The housing market according to Christopher Linkas has a future on Passive Real Estate (commercial). According to him, passive investment presents the investor with limitless possibilities such as loss limitations; it has a better and more investor-based model. The passive investment also can accommodate different professionals to the pool and therefore improving the chances of earning more.

Is investing in single rentals a bad idea? The investment guru Christopher Linkas disagree on that notion. He believes that although to a certain extent the model is not economically viable to ambitious investors, it still makes some financial sense. However, he points out that as an investment model, the time factor makes it not a long term viable.

The complexity of investment (especially the real estate) to an investor is one of the reasons Christopher Linkas is so passionate about enlightening people on what is viable and what is not. As an expert in this ever-changing investment area, he blends his experience with the current financial situation to give the real estate investor relatable and objective guidance.



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