The Search for Real Estate Value in Uncertain Times with Justin Smith

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While many investors are stuck on the sidelines, smart money is quietly finding deals in unexpected markets despite economic uncertainty. Hawkeye Wealth President Justin Smith sits down with Adam & Matt to navigate today’s complex investment landscape where caution abounds but opportunity still exists.

From analyzing how Trump’s tariffs are impacting business decisions to explaining why his company is finding attractive deals in US multifamily markets, Justin provides a balanced perspective on North American real estate. While acknowledging Canada’s current headwinds, he remains optimistic that we’ve reached a turning point where our nation will begin to unlock its immense potential in resources, talent, and geographic advantages.

Has the Canadian real estate market finally reached a price point where smart investors should jump back in? What makes Portland and other US markets attractive for Canadian investors despite the exchange rate? And with transformative technologies like self-driving cars and embodied AI on the horizon, how will forward-thinking investors position themselves for the opportunities these changes create?

Don’t miss this insightful conversation about finding value in today’s challenging market.

What Every Homebuyer and Investor Needs to Know Right Now in Vancouver Real Estate

In a rapidly shifting Metro Vancouver real estate market, staying informed is more important than ever. This week on the Vancouver Real Estate Podcast, Justin Smith, President of Hawkeye Wealth, returns to provide a deep dive into what buyers, investors, and industry professionals need to be watching closely.

This episode is packed with data-driven insights that paint a clear picture of current real estate investment opportunities in Vancouver and across Canada. Justin’s perspective is especially critical for those looking to make informed decisions in an uncertain environment.

Whether you’re a seasoned investor, first-time buyer, or real estate professional, this conversation is all about cutting through noise and focusing on the fundamentals that truly matter right now.

The Shift from Sentiment to Fundamentals

One of the clearest messages in this episode is the move away from emotion and sentiment toward data, performance, and fundamentals.

Justin notes that in 2020 and 2021, real estate was booming across the country, and investor confidence was sky-high. But with rate hikes, inflation, and general uncertainty in 2023 and early 2024, many are rethinking strategies. While fear-based decision-making was common in the last two years, there’s now a growing return to disciplined investing.

That means understanding cash flow, location-specific risk, and long-term fundamentals is essential. Investors are asking: “What’s the debt coverage ratio? How resilient is this market in a downturn?” Those are the right questions.

And if you’ve taken a pause in the past 12-18 months, now might be the time to look again—but this time with data, not hype, leading your decisions.

Why Purpose-Built Rentals Are the Smartest Play Right Now

According to Justin, the best opportunities in Metro Vancouver—and across Canada—right now lie in purpose-built rental developments.

Here’s why:

• Vacancy rates are near historic lows.
• Immigration targets remain aggressive.
• Interest rate hikes have priced many out of ownership, increasing rental demand.
• Government policy and CMHC incentives strongly favour rental housing supply.

Justin explains that cap rates have compressed, but demand for rentals continues to grow, and smart developers are building for long-term cash flow, not short-term speculation.

For investors, that means purpose-built rental projects offer not only stability but also potential upside as rents increase and new supply remains tight.

Whether you’re a passive investor or hands-on operator, this segment of the market deserves attention. It’s about building sustainable, cash-flowing portfolios that withstand the economic cycle.

How Private Market Opportunities Are Shifting

Another big takeaway from the conversation is the evolution of private market deals in real estate.

In 2021, deals were moving fast—offering preferred returns and upside projections that were hard to ignore. But many of those projects have since slowed, been restructured, or faced challenges meeting projections.

In today’s environment, Justin says the most successful deals are those with:

• Low leverage
• Strong operational partners
• Cash flow from day one
• Simple structures (no waterfall equity tiers)

Investors are moving toward transparency, predictable returns, and fewer moving parts. This is particularly true for high-net-worth individuals and family offices who want exposure without the volatility.

If you’re in the private equity or syndication space, now is the time to prioritize quality over quantity.

Commercial vs. Residential: Where’s the Smarter Bet?

A common question: “Should I be looking at commercial or residential real estate in 2024?”

Justin’s answer: it depends—but residential rentals, especially multi-family, are better positioned in the current market.

Office space continues to struggle post-COVID, with some recovery but no clear long-term demand signals. Industrial, while still strong, has become expensive and competitive. Retail is highly dependent on tenant mix and location.

Residential, on the other hand, benefits from structural tailwinds like population growth and a lack of supply.

The smartest play? Focus on rental housing—whether through direct ownership, partnerships, or investment funds with strong local knowledge.

What Savvy Investors Are Doing Differently in 2024

The final theme is perhaps the most important: what are experienced, long-term investors doing now that sets them apart?

Here’s what Justin is seeing from his top clients:

• They’re not trying to time the market.
• They’re looking at multi-year investment horizons.
• They prioritize cash flow over appreciation.
• They’re favouring professional operators and developers with proven track records.

In short, it’s about consistency. Avoid the hype, stick to fundamentals, and partner with people who know how to operate in a down market.

As Justin says, “Markets like these don’t last forever—but the investors who make smart moves during them tend to win big in the next cycle.”

The Bottom Line

This episode is a must-listen for anyone serious about building wealth through real estate in today’s challenging but opportunity-rich environment.

The focus is on purpose-built rental housing, smart private market participation, and returning to investment fundamentals. These are the themes driving real estate success in 2024 and beyond.

Whether you’re an investor looking for your next move, or a curious homeowner wanting to understand the bigger picture, this conversation with Justin Smith delivers insight without hype.

Tune in to hear how top investors are adapting, what sectors are performing, and how to position yourself for the long term.

Frequently Asked Questions

What are the best real estate investments in Vancouver in 2024?

• Purpose-built rental housing is among the most promising investment options, given strong immigration, low vacancy rates, and government incentives supporting rental supply.

Is it a good time to invest in commercial real estate in Metro Vancouver?

• It depends on the asset class. Office remains challenged, while residential rental properties—especially multi-family—are currently a safer, more stable option.

How are private real estate investments changing in 2024?

• Investors are moving toward simpler, transparent deal structures with lower leverage and cash-flowing assets. Quality operators and conservative underwriting are more important than ever.

What role does cash flow play in real estate investing right now?

• Cash flow is king in 2024. With uncertain appreciation, savvy investors are prioritizing properties that generate consistent rental income from day one.

Last updated April 7 2025 by Matt Scalena PREC