"It is my deestiny!"
Posted on 08/24/2005 6:58:33 AM PDT by austinite
Listen folks there is no bubble, take it from me there has been a cosmic shift in real estate investing. Foreign money, "old money", dead baby boomer inheritance money and speculation type money is pouring into the real estate market faster then Carter can make liver pills. There is now absolutely no connection between home ownership and personal income, real estate (residential) in the US is now a global economic comody, just like pork bellys and sugar cane. Who cares if the average income family can no longer afford the average home. Don't worry. Their money is unimportant. They should be renters anyway. The big players control the game now, the little guy is insignificant now and forever.
Housing will appreciate 10,15,20% a year, year in and year out- forever. Don't ever expect a correction. In just ten years the AVERAGE house will be well over $400,000, pricing completely out the average worker, which is a good thing in the long run for the invester class.
Buy a house if you can, actually buy 1,2,3 as many as you can!
1 born, 2 2 takem....
That is so funny...I can't tell you how many people I have told that to...the Irish need for land. My grandfather pounded it in to us that his family couldn't own land for so long...you can have a million dollars in the bank in my family but you are rich/safe unless there is a piece of dirt that you own...
I remember hearing this kind of tripe back in the 80s. The market kind of did a reverse in the early 90s and then was compounded in the Los Angeles area by the 1994 Northridge earthquake. Those earthquakes really arn't kind to property values as they destroy a HUGE chunk of it in a minute or so.
Ding Ding Ding, We have a winner!
Our house here in southern OH appreciated about 15% in 10 years, but it sold, quickly (within 40 days, or 1/3 the average that a home is on the market). If we held out for a little more, we might have sold, be we are already building a $400,000 home---and this is not a "mega" high-end house. It's just what they cost now.
Since everyone has to live somewhere, you are usually better off buying than renting, which is almost like throwing money away. The key is to not buy an overpriced, crappy, depreciating house, but that has always been true. Anyway, it still is a good time to buy if you can find a bargain property and a low interest loan.
"It is my deestiny!"
Given his handle, he is pretty much right. Austin and Miami and THE hottest markets in the nation right now.
With interest rats so low the last few years, American families jumped from renting into houses, fueling the current economy. With this came better homes for our families and hopes for American Families. You better care for American families, they are the engine of America.
And since when do Mortgage companies not want to do business with American families?
Thats what they said about the dot com bubble too.
There's an old joke among commodity brokers that tell of a trader in pickled herrings. One day his wife opens one of a hundred kegs and finds the contents rotten. She panics and tells the husband. "Don't worry my dear, they're TRADING herrings, not EATING herrings."
Yeah, kinda lame, but it seems that, as the old song goes, everything old (tulips, Mississippi, dot.coms) is new again.
my advice: Buy Low - Sell High.
I have an M.B.A.!!
Why can't we all just get a loan?
Nest egg invested in real estate?
tweedly tweet.......there's nothing to fear, investors, there's nothing to fear.......
The only economic indicator one needs to watch in regard to credit-fueled asset inflation, whether houses, stocks, or tulips is long-term interest rates, which the Fed cannot arbitrarily fix.
Rates low - no problem!
Rates rising - problem!
Old drug dealer's quandry: "How do we make any money if we only sell our stuff to each other?"
except for Vegas.
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