ast spring, I was invited 2005?
to go to Philadelphia and
participate in a "real I can't speak for all real estate
estate bubble" discussion on Ch investors. If my family had been
8's "Money Matters Today." scared into discounting our
Television reporters, newspapers, investments, selling out, and not
and media hype love scaring you buying more property in 2005, we
to grab your attention. On the TV would have lost a million
show, I defended the real estate dollars. We bought and held
market. houses. All of our property
increased by 20% - 35% and the
What's behind all this ones we fixed increased in value
bubble talk? even more. In particular, for one
home we paid $120,000 and spent
Before you give any substance to $10,000 in repairs - within the
warnings about a "real estate year it appraised for $325,000.
bubble," look closely at the
source. Many stock brokers jump Who profits from the real
on the bandwagon of real estate estate bubble?
doom to get investors back into
the stock market. Also, many Besides media scaremongers,
negative reports originate from mortgage insurance providers, and
mortgage lenders who want to keep stock brokers, real estate
the mortgage insurance rates high investors make even more money.
and keep the insurance premiums What's that? How do real estate
coming in for loans on houses investors make money from the
that have appreciated. real estate bubble? They take
advantage of desperate home
So, what happened to the sellers scared by the media.
real estate bubble in
In January 2006, we bought an acre, one lot away from a future
investment property that the home marina near new condos, has many
seller, in the midst of a possibilities.
divorce, discounted for a quick
sale. The $340,000 property Keep the bubble talk. People
appraised for fifty thousand more always need housing. The more you
than the purchase price. Now, we hear about the pending burst, the
could quick sale the property for more money real estate investors
fast cash, but we're in for the CAN make.
long haul. The property has great
development potential. So, we'll Copyright "© 2006 Jeanette J.
let the tenants pay for the Fisher
mortgage and maybe tear the small
house down in a few years. A half
About the Author:
Jeanette Fisher offers FREE "How to Start Real Estate Investing Teleseminar," free ebook, "The Truth about Making Money Flipping Houses" http://doghousetodollhouse.com
Source: www.isnare.com
