Those who braved the recession in 2008 and invested in real estate reaped with a smile 14 years later! You must take note that every recession is different. Nonetheless, we learnt that recessions are a super safe bet to purchase real estate stocks at record bottom rates wait to enjoy yields in the long term when the tides calms.
On the contrary, the great depression (1929-1939) did not teach us many lessons to allow for any meaningful strategies into the future. It took 15- year period to reach any favorable equity prices.
The second option: If you’re not a proponent of purchasing real estate from distressed sellers in the looming recession, you may need to be flexible. Focusing on stocks with good fundamentals is a good option because it saves you from highly volatile markets that eat into the value of your piled cash.
Where do you belong in these two categories?