REITBull

Real Estate in the Midst of Bull Market

I'd still be buying IYR or URE. The recent IRS ruling on REMIC makes loan mods on CMBS more feasible. Longer term, supply-demand fundamentals would favor rent increases on many of the properties held by the REITs in IYR, with the Residential REITs being the exception.

XHB looks dangerous to me. The Fed buying up bonds has propped this market up as other readers have pointed out. Not to sound like a broken record, but the supply-demand fundamental on the Res side is a mess.

3 Homebuilders ETFs for the New Housing Stimulus Legislation

I think that the supply vs. demand for housing is too much of a headwind at this point for XHB or the other homebuilder ETF's. There will be continued negative absorption throughout the year with ARM's resetting. I also believe we will see some more builder BK's before things stabilize. There will be a time to jump back into these, but it is too early for me.

In regards, to Commercial RE, I believe people will begin spending money at the malls before they start buying houses again.

A Prefabricated Future?

User310318,

I was about to respond the same way to smlcap.

Many people mistakenly think that modular homes are trailers. They are not. Modular homes are normal homes constructed in large wharehouses as modules. The modules are shipped to the construction site and assembled on a concrete foundation. A passerby would not be able to tell the difference between a stick built and a modular home and has no effect on financing.

Futures Show Home Prices Continuing To Plummet

I like this website, however, I do not understand why IYR is continually referenced to residential real estate. IYR's holdings are commercial real estate and there is very little correlation to residential values. Again, I like most of these articles but when IYR is referenced to residential real estate, it hurts the credibility of the article.