Chris recommends looking at your portfolio as a business and focusing on both top-line revenue and expenses. You can increase revenue by taking advantage of allowable rent increases and turning over below-market tenants, while cutting costs through geographic consolidation and volume discounts with vendors for services like lawn care, snow removal, and property management.
Chris explains that he has personally been through three previous corrections and they are temporary points in time. He cites a 150-year study across 13 major centers showing real estate outperforms other investments, and emphasizes that mindset is the number one variable you can control to stay clear-headed and pragmatic.
With residential prices down 15-20% and the buying experience far less competitive, investors can now stay true to their numbers more easily. Chris highlights the relationship between purchase price, rent, and interest rates, noting that rents remain steady or strengthen even when prices dip, creating better cash flow potential on deals like duplex conversions and BRRRRs.
Chris advises investors to embrace adaptation rather than fear it, because everything in the world is in a constant state of change. He recommends realigning with your long-term purpose, planning with actual numbers to remove the unknown, and remembering that heightened emotion reduces clarity of thought.
