Montana land and ranch broker says people are still investing in remote real estate post-COVID.
Big money investors are looking to hedge against inflation and have turned their focus on farms and ranches, These people have significant amounts of cash and are currently investing in remote real estate.
The COVID-19 pandemic, forced millions of people to work from home and use tools including Zoom video conferencing to connect with their coworkers as thousands of companies had to rethink the future of their workforces and offer remote or hybrid-work options to keep employees satisfied.
The pandemic has also shifted more people into small cities and suburban areas as they are able to work from anywhere.
Investors Are Preferring Remote Real Estate Over Cash And Stocks
Elfland has stated that the investors are looking for an inflation hedge and the other financial motivation that they were seeing on the side was just a risk of taxation.
Last week it was revealed that US consumer prices accelerated at the fastest annual pace in more than 30 years as supply chain bottlenecks and materials shortages persisted and gasoline prices surged.
The CPI had risen by 6.2% year over year in October and the prices had risen by 0.9% month over month.
Analysts surveyed by Refinitiv were expecting prices to rise 0.6% in October and 5.8% annually. The cost of shelter ticked up 0.5% last month and was 3.5% above year-ago levels.
People are thinking about the economy and what the economy would do to their net worth if they have significant amounts of cash. They consider land to be a better asset than a stock portfolio. McShane reported on Wednesday that as demand for land and remote real estate continues to increase, so do prices. He cited an example that Montana was listed for $10 million dollars one year ago and is about to sell for $16 million.