Consumer and small-business confidence cratering, more moratorium wrangling, three multifamily REITs worth considering now
In Today’s News
Consumer Sentiment Measure Falls to Pandemic-Era Low
A key consumer sentiment reading saw a dramatic drop in early August as the delta variant of COVIC-19 increased fears about the path of the economy, CNBC said today.
The Millionacres takeaway: The University of Michigan’s consumer sentiment index hit its lowest mark since 2011, when the economy was still recovering from the Great Recession. Consumer spending drives much of our economy. This is a warning bell.
Delta Variant Drops Small-Business Confidence to Lowest Level Since March
Small-business confidence dropped in August to its lowest level since early spring, as the rise in COVID-19 cases due to the highly transmissible delta variant put a damper on expectations and turned entrepreneurs more cautious, The Wall Street Journal reports today.
The Millionacres takeaway: This reflects the reality that retailers and their landlords would be among the first to really feel the effects if we go into another pandemic-fueled economic skid.
Dueling Decisions on Eviction Edicts
Federal Judge Leaves CDC Evictions Moratorium In Place
Saying her “hands are tied”, a federal judge on Friday refused landlords’ request to put the CDC’s new eviction moratorium on hold, though she ruled that the freeze is illegal. The Biden administration sought the extension to give time for relief funds to flow.
The Millionacres takeaway: The Associated Press says the group of Alabama landlords challenging the moratorium are likely to appeal. The latest iteration of the moratorium is set to expire in about six weeks, on Oct. 3, but lots can still happen between now and then.
What Does the Supreme Court’s New York Decision Mean for Real Estate?
The Supreme Court this week partially blocked New York's eviction ban, representing a small victory for landlords in the course of an arduous battle. The court order applies only to a provision of the ban that prevents the eviction of tenants who submit a form stating they've suffered an economic hardship.
The Millionacres takeaway: Our Maurie Backman writes that at this point, it may be more financially advantageous for landlords to wait to collect their rent relief funds rather than spend time and energy working to have tenants removed from their homes.
Also Today on Millionacres
3 Apartment REITs to Buy in August
As the delta variant upends expectations of a post-vaccination return to normal -- or something like it -- it’s a good time for real estate investors to look at some sectors and stocks that could present some resilience and even growth in the months to come.
The Millionacres takeaway: Shelter is one of the big essentials, and these three real estate investment trusts excel at providing it for a profit. Check them out for potentially good buys this month.