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Super Moderator
Join Date: Aug 2006
Location: West Coast
Posts: 773
Rep Power: 7 ![]() |
My thoughts do no directly reflect those of Savingstalk.com, it's host or sponsors.
Real Estate: I believe that over the past several years, there has been a huge Real Estate Bubble. It is one of the hottest, most popular and lucrative investements in recent years. People have seen huge returns and are extremely happy with what they get in return for their investments. I do not believe there will be a huge crash though. The bubble will not burst. Rather, it will simply stabilize. The market will even out and investors will become more educated. Everybody remembers the huge tech hype of the late 90's, and the huge tech drop of the late 90's to 2000. The memories of the tech hype remind us of the value of a diversified portfolio. Real Estate is an essential portion of a good portfolio, but should not be 100% of an investors assets. There is a lot of options for mortgage and financing that make it easy to invest into Real Estate, but they are not always the right option for an investor. Long mortgages, huge payments, and large debt isn't right for everybody. Investors are getting smarter and the education will catch up to the common public. Just as the stock market is stabilizing, Real Estate will stabilize also. Be diverse and most importantly, be educated. Find the right investment for you, don't just jump on every bandwagon out there. |
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#2 |
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Savings Advisor
Join Date: Aug 2006
Location: Central CT
Age: 32
Posts: 761
Rep Power: 7 ![]() |
I think it already has leveled off... at least around me. I also agree that it's not going to drop, but the flip and flop is becoming harder to do.
IMO, it's too late (for short term investment) to buy a house with hopes of flipping it for a substaintal profit in a short time. This doesn't hold true for fixers' though. There will always be money to be made by plain old fashioned hard work. The best investment is the crappiest house in the best neighborhood
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