Market Volatility & Recession
Stability of the Market and How that Affects Core
Wally Smith: Okay. Who are the biggest lenders or the best lenders right now in this space? Jeff Montgomery: We mentioned Fanny, Freddie. Agency. They’re still active in the space right now. Bank’s been active. Life cos, there’s whispers, life companies. There’s whispers that they’ll be coming back in, Q1 next year. Wally Smith: Okay.…
Read MoreCore’s Performance During Recession
Wally Smith: Has CORE ever missed a distribution payment? Jeff Montgomery: We have not. Wally Smith: Okay. How did you do during the lockdowns? How was all that? Jeff Montgomery: So, I mentioned I started in 2012, so I’ve seen some of these movements, and it’s been an interesting roller-coaster. So pandemic period for multifamily…
Read MoreHow Core Hedges Against Inflation
Wally Smith: All right. Tell me about full-cycle programs. Do you have full-cycle programs you’ve gone through? Jeff Montgomery: On the DST side, our first acquisition was 2016. So 10 year we’re coming up, 2026 is our full-cycle. None of those have gone full-cycle yet. We’ll anticipate those coming soon. But what we are seeing…
Read MoreCap Rates and Interest Rates’ Effects on IHC
Wally Smith: Mike, let’s talk about cap rates. Can you describe in layman’s terms what is it cap rate? Mike Jones: It took me a couple years to figure it out, I think. Essentially, a cap rate is the rate of return a buyer is willing to accept or expects from the cash flows provided…
Read MoreCovid’s Effect on IHC
Wally Smith: COVID. COVID shocked everybody’s system. How did it affect you guys? Patrick Lam: I think the biggest misconception about COVID was the fact that it had on senior housing and healthcare. You heard almost every day in 2021 that COVID hit a lot of nursing homes throughout the United States of America. But…
Read MoreIHC’s Higher Yields and Effects of Rising Interest Rates
Wally: How do you guys accomplish that you pay a little bit higher yield. I know we love it. Our clients love it. But I know we don’t want to get into specific numbers from a compliance standpoint, but your yield has been a bit higher than some of the other sectors. Why is that?…
Read MoreIHC’s Covid Success
Wally: Okay. How did that work through COVID? I think you guys did reasonably well through COVID. Patrick Lam: Yeah, absolutely. Mike Jones: Yes. Patrick Lam: There was a lot of… Mike Jones: Go ahead, Patrick. Patrick Lam: … sponsors in the space that either suspended distributions, stop distributions or lowered the distributions. And we…
Read MoreThe Housing Market Now and In the Near Future
Wallace Smith: With the 1031 exchange business, we occasionally will do a reverse 1031 exchange. Somebody sees what they want to buy. They don’t have the cash for it yet, but they have to figure out some way to buy that property because they know they’re going to sell and get into it. So very,…
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