Thursday, September 4, 2008

Real Estate:U.S. House Price Decline Could Be Worse than Great Depression, Economist Says

Hello All:

This head line just crossed the wire, and did my e-mail box get flooded with nervous investors! Hopefully they will read this blog post, because to answer all of them I would certainly get carpal tunnel syndrome.

I want to put every investors fears to rest and state here for the record : "every negative, brings with it a positive!"
I have said numerous times on this blog I think we are at least 24 month away from a bottom to this cycle. That being said, I would not be purchasing property now unless you can obtain it for 35% under fair market value, or in the case of rental property, you need a big positive cash flow of at least 40% debt to profit ratio.

Or, you can do what I do and use lease options to invest! If the deal and or the market goes against you, you can escape without financial harm to your investment portfolio!

To your success,

James Gage