A new federal eviction ban, lumber prices jump, CRE crowdfunding, mixing it up with Macy's, and a look at a data center REIT.
In Today's News
Mixed Reaction to Sweeping Federal Eviction Ban
Citing the threat of further spreading COVID-19, two federal agencies -- neither typically focused on housing -- have put into place a federal ban on evictions far more sweeping than the one already imposed on properties with government-backed mortgages.
Why it matters: Trade groups like the National Association of Realtors and National Multifamily Housing Council support the ban in principle but say landlords will need financial assistance to make up for what could be devastating losses in income. Real estate investors large and small know what they mean.
Escalating Lumber Prices Hamper Homeowner Dreams
The National Association of Home Builders said today that lumber prices have soared by 130% since April, adding more than $16,000 to the price tag for building a single-family home.
Why it matters: As if near record-low interest rates and tight supply haven't added enough upward pressure to home prices, there's this. Along with affecting new homes, this jump in basic construction materials will affect remodeling projects, too.
Checking in on CRE Crowdfunding
Real estate crowdfunding platforms were rocked like every other CRE venture by the pandemic, but demand is returning, three platform operators tell National Real Estate Investor.
Why it matters: Unlike buying a real estate investment trust (REIT), crowdfunding allows investors to invest directly in real estate deals. And it's growing. RealtyMogul alone claims more than 200,000 members. CRE investors can go their own way here, depending on your project confidence and risk appetite.
Today on Millionacres
Macy's Beats Wall Street Expectations; Time to Celebrate?
The iconic retailer, which announced massive store closures before the pandemic hit, just reported better-than-anticipated fiscal second-quarter earnings.
Why it matters: While this is a rare bright spot in the world of brick-and-mortar retail of late, keep in mind that Macy's still lost money in the quarter, just a lot less than analysts predicted. But the CRE market will take good news where it can get it.
Is Equinix Stock a Good Fit for a Retirement Portfolio?
The largest in the small universe of data center REITs has a decent track record, a trove of long-term leases with blue-chip clients, and reasonable potential for growth going forward.
Why it matters: A retirement portfolio that encourages a good night's sleep needs a healthy dose of stocks that provide stability and growth potential in both stock price and dividend yield. Millionacres' Kevin Vandenboss explains why Equinix (NASDAQ: EQIX) deserves some consideration in that regard.