Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: marginmike who wrote (432)	8/28/2001 3:20:33 PM
From: Tradelite	Respond to of 306849

<<I am very interested in making money in Real Estate, especially since returns in stocks will be anemic going forward.>> My REIT stocks are the only green spots on my screen today. You have to select these stocks carefully, but they are making money for investors pretty well.

To: marginmike who wrote (432)	8/28/2001 3:24:02 PM
From: JakeStraw	Read Replies (1) \| Respond to of 306849

Good luck to you.

To: marginmike who wrote (432)	8/28/2001 5:29:49 PM
From: Skeeter Bug	Read Replies (2) \| Respond to of 306849

mm, with all due respect, if you timed the market up and down, you got lucky. period. keep that in mind lest your arrogance brings ruin to your door. rational thinkers missed a lot of the bubble b/c, by definition, bubbles are irrational! now, some folks could have employed risk management systems that turned speculating on the buble into a rational exercise, but they didn't invest a large amount of their portfolio to minimize risk. however, they didn't 'time" the markets, they just maximized gains and minimized losses. wrt real estate, buy it when rents cover your mortgage, taxes, etc. on modest down payments. be sure to factor in

To: marginmike who wrote (432)	8/28/2001 6:05:19 PM
From: Skeeter Bug	Read Replies (1) \| Respond to of 306849

part 2 (sorry i was interrupted)... wrt real estate, buy it when rents cover your mortgage, taxes, etc. on modest down payments. be sure to factor in... that today's reasonable rents may not remain so in more normal times (maybe, maybe not). better to be conservative. also keep in mind that depreciation is a really nice tax deduction that you don't lose until you sell the place. rental condos are easier than homes b/c they are smaller and easier to take care of. you do have homeowner's dues to contend with, though. my wife and i bought a condo as a starter home. we rented it out for about 8 years. we now own a home, too. the condo has since been paid off so the proceeds reduce our current mortgage. in 3-4 years, we plan on upgrading to a larger home and renting out our home (and getting the depreciation! ;-). however, we ONLY buy when the price is right. leverage can KILL you DEAD if you are not careful. just go here to see what happens to leverage gone bad... 208.56.129.199