Over the past two months, I’ve had a number of posts discussing the number of mortgage companies going under and the increasing rate of foreclosures. Click through on the “archives” on this page to see the previous blog entries.
Boy, have I gotten some comments via email on those posts!
Typically I’ll get a post from a real estate agent or broker who wants to take me to task for stirring up the “masses” into thinking real estate is bad.
I haven’t responded on the emails, but I do want to respond in a blog. First, I’m just reporting on actual and real statistics. And secondly, if from that someone decides that a real estate investment is bad, I’m sorry. That’s because that’s the last thing I mean.
To paraphrase Warren Buffet – When everyone is greedy, it’s time to get fearful. When everyone is fearful, it’s time to get greedy.
The press is reporting at the “fearful” spot on the meter – it’s time to get greedy! It’s a great time to invest in real estate. Don’t be afraid to negotiate hard and when you do your IRR calculations, assume longer time frames just in case the market takes longer to recover.