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Gold/Mining/Energy : An obscure ZIM in Africa traded Down Under -- Ignore unavailable to you. Want to Upgrade?

To: smolejv@gmx.net who wrote (141)	7/28/2002 6:32:53 AM
From: smolejv@gmx.net	Read Replies (1) \| Respond to of 867

...thinking further down the mtg highway... If it's residential property (ie not income producing, but even those may start to turn sour) selling while it lasts and renting is an alternative to consider. Snowshoe? dj

To: smolejv@gmx.net who wrote (141)	7/28/2002 1:47:05 PM
From: Snowshoe	Respond to of 867

I punt with Snow on this one. I am still wrestling with this. But right now I see the herd stampeding to mortgage themselves to the hilt at the current "low" rates. But are they really low? Not if we're heading toward deflation. So what do I do with the cash making 1.6%? I'm being tempted to buy all sorts of things: a remodeling project, real estate, a fancy new car, state of the art home entertainment center, rare books, high quality gold nuggets, etc, etc. The USA herd is stampeding in this direction now. Borrowing at ~6%, getting a tax deduction, and effectively borrowing at 4% to buy all kinds of stuff. They'll sure be sorry if mortgage rates go to 4% but they can't qualify for refinancing again because: a) their salaries have been cut and b) the real estate bubble popped so they have negative equity in their homes. My instinct is to go against the herd on this.