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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: staring who wrote (59310)	4/1/2017 6:07:17 PM
From: Spekulatius	Read Replies (1) \| Respond to of 78841

Given the 4.5% rent yield and the 3 % loan yield, I would probably lean towards a purchase, if the property is in a good location. The risk with real estate is not in the long run, it is that there s a short term hiccup and you lose your job, or have to move for other reason and the market turns cold. This could mean that you either can't sell your house or need to hold on. Other than that, in the long run, you can't really lose, unless the place where you chose to make your home becomes a second Detroit. I was in Lisbon once in the 90's and have fond memories of this town. We stayed with friend who had a smaller house in the hills and the whole thing looked like a normal suburb, but they told me that the whole neighbourhood was illegal and shouldn't even be there. But these houses had normal utilities, there was a post office nearby and even schools. I guess this was the Portuguese can do attitude at work.