Tcali Posted May 10, 2008 Posted May 10, 2008 They actually had an article on CNN the other day. They listed 10 housing markets that have not really been affected by this country's mortgage crisis, that the values have actually have stayed steady or have increased over the last few year. You know what three of the markets were? Buffalo, Rochester & Syracuse. Yeah thats fine but they never went up in the first place plus the property taxes just kill you. So its kind of a non-issue.
Tcali Posted May 10, 2008 Posted May 10, 2008 True but also misleading. WNY had none of the real estate value boom over the last 10 years. My home value has decreased in 10% the last year, but it was up 200% in the 9 years before that. Real estate is traditionally a terrible investment. But safe. Uhmm...I disagree.Most great fortunes are made in real estate.However,the money isnt to be made in residential single family homes in decaying cities like Buffalo.
John Adams Posted May 10, 2008 Posted May 10, 2008 Uhmm...I disagree.Most great fortunes are made in real estate.However,the money isnt to be made in residential single family homes in decaying cities like Buffalo. More insanity. First, this thread is not about commercial real estate. Second "most" great fortunes are not made in real estate. Third, check the data. There have been 2 significant rises in home value in the last 120 years. Otherwise, home value as an investment is flat. (Only home price index I could find off the top of my head is here.) http://en.wikipedia.org/wiki/Image:Shiller_IE2_Fig_2-1.png Fourth, of course you can make money in real estate. You can also make money selling asparagus. You can make money inventing a cure for cancer. There are lots of ways to make money. Fan in San Diego--who I chide--likely has. But the average person who wakes up one day and says, "I should go make money in real estate" is an idiot. As is the person who says, "I should buy a house because the value will go up over time." You buy a house because it's great to be a home-owner. You shouldn't count on it as a long term investment vehicle.
Fan in San Diego Posted May 10, 2008 Posted May 10, 2008 I deeply care what you think and am content to keep my finances to myself, unlike you. Well I don't give a rat's ass about you ! So leave your comments about how I conduct myself to yourself. Who are you anyways ? The board police ? No ? Then shut up !
Tcali Posted May 11, 2008 Posted May 11, 2008 More insanity. First, this thread is not about commercial real estate. Second "most" great fortunes are not made in real estate. Third, check the data. There have been 2 significant rises in home value in the last 120 years. Otherwise, home value as an investment is flat. (Only home price index I could find off the top of my head is here.) http://en.wikipedia.org/wiki/Image:Shiller_IE2_Fig_2-1.png Fourth, of course you can make money in real estate. You can also make money selling asparagus. You can make money inventing a cure for cancer. There are lots of ways to make money. Fan in San Diego--who I chide--likely has. But the average person who wakes up one day and says, "I should go make money in real estate" is an idiot. As is the person who says, "I should buy a house because the value will go up over time." You buy a house because it's great to be a home-owner. You shouldn't count on it as a long term investment vehicle. I never said that the average Joe should just buy some house and expect to make money off of it.Its not that easy. And as I said...-there are areas to 'invest' in residential real estate and there are areas not to--such as Buffalo. In places like California and Florida there has been an overall increase of about 6 % a year over the past 40 years. Add onto that the fact that you are investing using borrowed money and u retain all the gains on an investment that you rarely ever own completely. Add onto that the tax advantages--which are huge. One must be able to or willing to hold a property for 8-10 yrs if necc because of course real estate doesnt go up on a smooth ascent--its looks more like a sine wave.If u speculate on a house that u cant pay for for 8-10 yrs then you may as well go to a casino in vegas--just ask those who bought real estate in FL or CA or NV in the past 1-4 yrs.
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