Building a Smarter Real Estate Investment Portfolio in 2025:
The beginning of the year is a time many people take the opportunity to review their investment portfolios and financial objectives. While New Year’s resolutions often center around health and fitness, studies indicate that financial goals topped the list in 2024. As we move into 2025, now is an ideal time to evaluate your financial standing, including where you allocate your investments and the returns they generate. Here are some key strategies to help you refine your investment approach.
Explore Your Investment Choices
Having an interest in healthcare real estate or senior housing investments is a great starting point, but understanding the full spectrum of options within these industries is crucial. For example, if you’re considering investing in senior housing, you might do so through a REIT, a private equity fund, a 1031 exchange, or even by acquiring property directly. Each approach has its own advantages and potential drawbacks, so take the time to explore which one aligns best with your financial goals.
Evaluate Your Risk Tolerance
Market fluctuations can be unsettling, and while some investors are comfortable with volatility, others may prefer more stable opportunities. Traditional “safe” investments don’t always offer the reliability they once did. For example, the S&P 500 experienced a significant downturn during the last recession, and some analysts predict another could be on the horizon.
Alternative investments, such as senior housing, may provide both consistency and above-average returns, even in an unpredictable market. If you tend to be risk-averse, researching alternative investment opportunities could help you build a more balanced and diversified investment portfolio.
Consider Your Liquidity Needs
Investing is important, but it’s equally vital to assess how much capital you can comfortably commit—and for how long. At SLF Investments, we always advise investors to review their long-term cash flow requirements before making decisions that could lock up their assets for extended periods. If you feel pressured into a commitment that doesn’t align with your financial situation, proceed with caution.
Define Your Financial Goals
While it’s easy to adopt a “set it and forget it” mentality when it comes to investing, establishing clear objectives can help maximize your long-term gains. For instance, if you anticipate receiving proceeds from a real estate sale in 2025, planning ahead for a 1031 exchange could allow you to defer taxes on your profits. While this strategy may require some extra effort, it can ultimately help grow your financial resources.
Conduct Thorough Research
No investment is entirely passive. It’s always your responsibility—along with your financial advisory team—to investigate any opportunity thoroughly. Before committing funds, take the time to evaluate the REIT, company, or fund manager you’re considering. Ultimately, safeguarding your financial future rests in your hands.
Finally, make it a habit to revisit your investment strategy every few months. Both personal circumstances and market conditions evolve over time, and regular reviews ensure that your investments continue to serve your financial objectives effectively.
SLF Investments (SLF) is a private equity investment company with 20+ assets under management that generated over $24.9 million ($99.8 million annualized) in revenues during Q4 2024. The majority of assets within our portfolio are Independent Living (IL), Assisted Living (AL) and Memory Care (MC) communities that were developed and constructed by our sponsor partners utilizing SLF equity.
Our Team.
The Senior Living Fund team is comprised of industry, securities, financial, and investment experts, as well as support personnel, based primarily in the Kansas City metropolitan area.
SLF Executive Team.
Dan Brewer, Founder & Chief Fund Manager
Dan has 30+ years of business experience, including 25+ years as an executive and principal in real estate, capital placement, business development and management. Dan has 10+ years of experience in a business consulting and management role for Accenture. Dan also has 10+ years of experience in the senior housing sector.
Mark Shader, Chief Operating Officer
Mark brings strong operations management skills to the SLF team through his 30+ years of experience in business consulting, real estate investment and development, financial analysis and management. Mark currently serves as Chief Operations Officer for Senior Living Fund, LLC and its affiliated entities.
Rick Maner, Chief Financial Officer
Rick brings over 30 years of financial management experience, mostly focused on financial services industry. Rick oversees all of the accounting operations including financial reporting, cash planning, and managing external audit relationships and the Funds tax reporting.