The 2025 "Asset Bubble" is Ballooning: Is It Time to Hoard Cash?

On The Market

BiggerPockets

News, Investing, Business, Education

4.8 • 820 Ratings

🗓️ 17 February 2025

⏱️ 42 minutes

🔗️ Recording | iTunes | RSS

🧾️ Download transcript

Summary

Is now the time to stop investing and start saving cash instead? As an “asset bubble” balloons larger and larger, every investment is looking overpriced. Homes are at all-time high prices with massive mortgage payments, stock price-to-earnings ratios are reaching dangerous levels, and Bitcoin is hovering around six figures. We constantly talk about how consistently investing in real estate leads to long-term wealth, but is now the time to pause? J Scott, the author of Recession-Proof Real Estate Investing and expert flipper, multifamily investor, and more, has significantly shifted how he’s using his money. While deals were plentiful before rates rose, they're now much harder to find—and not just in real estate. Who knows which tech and AI stocks will be worthless in a few years and which cryptos will crash? So, what should you do with your money at this inflection point in the economy? Should you hoard cash and wait for opportunities, or follow the “dollar-cost averaging” advice and invest regularly? Will doing so cause you to miss out on opportunities if the economy begins to shift? We’re asking J his take in this episode! In This Episode We Cover J’s current investment portfolio and why he feels he has too much real estate Exactly what J would do today if he were given $100,000 to invest The 2025 “asset bubble” that has already formed (will it pop?) The assets J is selling and why he stresses diversification in a different way 2025 buying opportunities and the major discount you could score on one profitable type of real estate Why J thinks you should be putting MORE money down on your real estate deals now And So Much More! Links from the Show Join the Future of Real Estate Investing with Fundrise Join BiggerPockets for FREE Sign Up for On the Market’s Newsletter Find Investor-friendly Tax and Financial Experts Dave's BiggerPockets Profile BiggerPockets Real Estate 1071 - The Macro Analysis is Clear: Why We Are Reallocating (Away From Stocks) to Real Estate in 2025 J's BiggerPockets Profile Grab J’s Book, “Recession-Proof Real Estate Investing” Jump to topic: (00:00) Intro (01:32) J’s Investment Portfolio (04:14) Don’t Buy Real Estate? (05:56) The 2025 “Asset Bubble” (09:46) Why J is Selling (17:31) Timing the Market, Worth It? (18:38) 2025 Buying Opportunities (27:06) Buy in Cash OR Hoard Cash? (33:10) Put MORE Money Down Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/on-the-market-296 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email [email protected]. Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

Click on a timestamp to play from that location

0:00.0	Is your money locked up in single family real estate?
0:08.1	Are you ready to explore new ways to grow your wealth?
0:11.6	Today I'm joined by Jay Scott, a seasoned investor who's tackled everything, every type of
0:17.5	asset class, and is an expert in portfolio diversification. And today we're going
0:22.9	to look at which opportunities are hot, which might be cooling, and how to decide if it's
0:27.4	time to stick with what you know or start diversifying. Hey, everyone, I'm Dave Meyer, and keep
0:32.8	watching because by the end of this episode, you'll have a roadmap for building a more resilient
0:37.6	and profitable portfolio.
0:39.8	Let's get into it.
0:41.4	Jay Scott, welcome back to On the Market.
0:43.2	Thanks for joining.
0:44.3	Absolutely.
0:44.9	Thanks for having me, Dave.
0:45.8	I am excited to talk about various different asset classes.
0:49.2	And anytime I try and talk about this with Kathy or James or Henry, it's impossible because
0:54.0	they only invest in real estate.
0:55.8	So let me just ask you, before we get into this, do you only invest in real estate?
1:01.2	Probably should ask you before you came on, but do you invest in other things too?
1:04.6	I invest in a lot of things outside of real estate.
1:08.3	I'm probably over-allocated in real estate these days because I, for obvious reasons, like real estate. I'm probably over allocated in real estate these days,
1:11.7	because I, for obvious reasons, like real estate and we can talk about that. But I'm certainly
1:17.4	not fully allocated to real estate and I'm diversified across quite a number of asset classes.
	...

Please login to see the full transcript.

Previous episode | Next episode

Disclaimer: The podcast and artwork embedded on this page are from BiggerPockets, and are the property of its owner and not affiliated with or endorsed by Tapesearch.

Generated transcripts are the property of BiggerPockets and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.