Mr._johngalt
Thinks s/he gets paid by the post
- Joined
- Dec 3, 2002
- Messages
- 4,801
wab said:It's relatively easy to lose money in the stock market compared to real estate, IMO.
Very well put. Agree, obviously.
JG
wab said:It's relatively easy to lose money in the stock market compared to real estate, IMO.
tryan said:... and for many - I am afraid - there will only be one RE purchase.
Check this link:
http://www.eagletribune.com/siteSearch/apstorysection/local_story_316064704
What were these people (realtors, mortgage originator, lenders, lawyers, and buyer) thinking?!? $9/hr at a laundry mat and she gets a $300k mortgage!
Mr._johngalt said:Very well put. Agree, obviously.
JG
rmark said:What little I've been able to read on broad real estate returns suggests a long term real return somewhere between stocks and bonds. But that average wasn't really available before REIT mutual funds.
mathjak107 said:thats what you think, just wait for even a 10% slide as it wipes out tens of thousands of leveraged dollars. anyone who bought recently in our area for investment and put down say 10% on a 400,000 dollar home can watch 40,000 plus closing costs plus taxes and insurance evaporate right before their eyes unless they intend to foot the bill and hold a loosing investment for a few years.
yeah you can rent it but thats at a lose too based on rents vs purchase price and costs
Delawaredave said:As a kid, my father had a bunch of rental properties - I always remember answering the phone - tennants calling about one thing or another - Dad leaves dinner table early to go fix something - he'd mumble on his way out the door, "put your money in stocks".....
Brat said:
mathjak107 said:remember too that although reits did great reits are not the same as owning real estate directly. they are stocks first and a play on real estate 2nd.
while if i was buying a business today i may pay 1 or 2x earnings at best , .
mathjak107 said:well i know id never go above 3 thats for sure
califdreamer said:Hey, even though I posted earlier about how I believe house prices are going down and will continue to do so in San Diego, I didn't mean to badmouth RE as an investment vehicle...
:[url=http://www.investorsinsight.com/thoughts.aspx]Gary Shilling[/url] said:Existing home prices in September fell 2.2% from a year earlier, the biggest drop in the 38 years of National Association of Realtors data. That matched the August decline and was the first back-to-back fall since 1995.
40% of new house sales in September are not owner-occupied
Over half of existing homes for sale are vacant
Past patterns suggest a two-year gap between the decline in house sales and the collapse in prices. But given the huge amount of speculation this time, the gap may be shorter, 1 1/2 years in our judgment. Since sales peaked in mid-2005, the big slide in prices might well commence roughly at the end of this year.
Many choice quotes there. He predicts that the big drop will start at year end. Most optimistic outlook is that it might be delayed to 4Q07.The Federal Reserve estimates that last year, they took $719 billion out of their abodes and spent half of it on goods and services. That's 4.1% of consumer outlays...
rmark said:Whch daughter is the best looking?