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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum
GLD 366.51+1.2%Nov 5 4:00 PM EST

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To: energyplay who wrote (36009)6/23/2008 12:16:33 PM
From: blazenzim  Read Replies (1) of 217547
 
TJ will get smoked on his real estate investments. When you buy real estate encumbered by fixed rents at a 3.5% cap rate and use leverage, you will get hammered when interest rates rise.

What happens to real estate values when the cap rate goes to 9%?

Hint: You will become Sasquatch's bitch for life.
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