Seeing as he probably borrowed most of the purchase price, in 1988 dollars, he should feel damned good.
If you see RE values drop 30% or more, the house you're in now will drop by that much as well, so it really won't make much of a difference to you. Unless you're currently renting, not going to sell your current residence when you buy a new one, or looking to upgrade substantially, there won't be much of a difference to you since you're staying in the same general market, right?
Harry Newton writes: Friends in real estate are struggling with the virtual shutdown of bank lending. All are mulling the idea of using investor monies instead of bank monies. Now is the time to tell your local successful real estate developer of your interest. Don't dismiss this idea because "all real estate is in the shitter." It's not. Real estate is two things: 1. The price you buy it. 2. The place it is, i.e. location, location, location.
Until and unless bought on zero down type arrangement, real estate is actually a conservative investment.
Until and unless bought on zero down type arrangement, real estate is actually a conservative investment.
I bet he washes his car every Saturday even when it rains. He prides himself on it while he is crammed in a one bed room apartment with 3 adults and 2 kids. They look out the window with a view of garbage dumpsters!
That's what you read? That's your perception? Take my advice... BURN YOUR MONEY AND STAND CLOSE... at least you'll get some heat out of it. You give the impression of not "having the right stuff" to succeed in the markets.