The World Travel and Tourism Council just published a study of most travel dependent markets across the world. In the US the top group in terms of tourism contribution to GDP are Las Vegas, Orlando and Miami. New York is among the largest dollar earners in the US but the % of GDP is not as significant in that market. This seems like a reasonable indicator of markets to be careful in while the Covid 19 virus remains such a big factor in travel and leisure habits.
Winners and Losers per Bankrate.com
Some good points below by Bankrate.com, however, they don’t address the fact that liquidity can also be seriously impaired when things get too tough, which I believe is a great reason to go long now on rental properties with a 30-year fixed rate loan. Prepayment penalties decline over 3 years (3,2,1) to zero in year 4 so they have limited impact on future flexibility. Should things get worse before they get better, investors who have long term loans will be better protected from any potential liquidity crunch resulting from further shocks to the system. This cut takes the Fed rate below levels during the 2008 depression.
Winners:
Losers:
You pick the disaster and World Central Kitchen is there providing food for those who desperately need something to eat and some encouragement. They have fed hurricane victims in Houston, Florida, and Puerto Rico, passengers stranded on a quarantined cruise ship, firemen in California and families stranded in Mexico’s border towns. If you are looking for somewhere to donate your time or your money, this would be a solid choice. In the incredibly cynical time we live in, it is great to see a person like Chef Andres making a massive difference for those in need.
Houston during Hurricane Harvey
In California feeding first responders and victims.
Puerto Rico
