- Joined
- Aug 26, 2010
- Messages
- 380
There are factors worth investigating in the US in the right markets and hedging against the inflation risk of getting repaid in devalued dollars then just becomes a cost of doing business to add to the margins. How much do we need to add?
What's the realistic long-term cost of adding hedging to ensure that you get repaid in full value dollars? I'm guessing 3% annually to carry insurance against a long term devaluation of the US dollar. What do you guys think? What would be the most effective way to hedge say a 3 million down payment into a B class 80 unit apt complex in the US? Expected hold being 7+ years.
What's the realistic long-term cost of adding hedging to ensure that you get repaid in full value dollars? I'm guessing 3% annually to carry insurance against a long term devaluation of the US dollar. What do you guys think? What would be the most effective way to hedge say a 3 million down payment into a B class 80 unit apt complex in the US? Expected hold being 7+ years.