Tuesday, September 25, 2012

How to Get Rich - Know Your Housing Market

Do you think you can get rich by paying too much for your home ?

Do you think the wealthy ever get caught on the wrong side of a real estate deal ?

The answer to the above is a resounding NO !

Your Home as an Investment

A common phrase often heard is that your home is the biggest investment you will ever make. I am not sure how this old saying ever got started, but my money is on the banking or mortgage industry. They are generally the ones with the most to gain from you having too big a housing debt.

First of all, the real estate that you live in is not really an investment. If you can't draw an income from it, then it is really just a place to live. I find it amazing how most individuals have been convinced to think otherwise. Why is it that everyone seems to be obsessed with buying a home well beyond what they can afford or even need? The answer is marketing ! From the banks, the home improvement companies, and yes the numerous reality tv shows. What a scam !

A Place to Live

Yes, a place to live. That is all your home really is. Now that you hopefully understand that, how do you know when purchasing your home is the best option ? Simple. When you can afford it. Decide what percentage of your income you feel is wise to spend on housing and don't go over that amount.

If your local housing market forces you to pay more than you are comfortable with, simply don't buy. It may be wiser to rent your home ( if it's more cost effective ) and invest the difference in income producing investments. This will help you in two ways. Firstly, it will increase your level of income. Secondly, it will give you time to really think about how you will be able to someday afford your dream home.

Home ownership is not always a good thing. Just look at the thousands of foreclosures in the US over the past few years. Many of those individuals will never recover financially from the housing market disaster.

Market Bubbles and Collapses

Most things go in cycles and real estate is no exception. Real Estate has a much longer cycle than most commodities, which is why many people lose money in real estate. They don't have the patience or the resources to wait out the cycle. Many simply don't believe that prices will ever fall.

I live in a current real estate market where buyers actually bid on properties, often paying thousands more than the asking price and often far more than the real value of the properties. Insane. Needless to say I have not been a real estate buyer locally for some time. I have however, been a seller on a few occasions taking advantage of the insanity of the buyers. Very profitable for the seller.

Buy low, sell high is my motto even when it comes to Real Estate that you live in. If you pay too much for your home, it could eventually become the noose that may  hang you financially. Don't buy it if you can't afford it. Invest your money instead in something that will pay you an income.

As always, I welcome your comments and suggestions for future topics.


75 comments:

Anonymous said...

I want to to thank you for this good read!! I absolutely loved every little bit of it.
I have you book-marked to look at new things you post…
Also visit my website :: drive spain uk forum Hierro

Anonymous said...

What's up, this weekend is fastidious for me, for the reason that this time i am reading this fantastic educational article here at my residence.
Look into my web site frommer's spain forum Benicarlo

Anonymous said...

Tremendous things here. I'm very glad to look your article. Thank you a lot and I'm looking ahead to contact you.
Will you please drop me a e-mail?
My blog post : villamartin spain forum Costa Almeria

Anonymous said...

It's hard to find educated people on this topic, however, you sound like you know what you're talking about!
Thanks
Review my blog : nakama5061.pixnet.net

Liam Alber said...

Nice information about develop wealth. I have got new ideas thanks for sharing nice information.

Custodian Wealth Builders

Anonymous said...

What's up to all, the contents present at this site are in fact awesome for people knowledge, well, keep up the good work fellows.
Feel free to visit my page ceutasolar.livejournal.com

Anonymous said...

Hey there! This post could not be written any better! Reading this post reminds me of
my previous room mate! He always kept chatting about this.
I will forward this page to him. Fairly certain he will have a good read.
Thank you for sharing!
Feel free to visit my website www.globalstats.casinogaming.org.uk

Anonymous said...

Awesome things here. I am very satisfied to see your post.
Thanks a lot and I'm looking forward to touch you. Will you please drop me a mail?
Here is my blog post :: http://www.doloresspain.com/free-spanish-property-classifieds.html

Anonymous said...

Hello, just wanted to say, I loved this article.

It was helpful. Keep on posting!
Also visit my blog : www.fishingspain.net

Anonymous said...

I go to see every day a few web sites and sites to read
posts, except this webpage offers quality based writing.
Also see my web page: spain time barcelona right now

Anonymous said...

Very nice post. I just stumbled upon your weblog and wished to mention that
I've really enjoyed surfing around your weblog posts. After all I will be subscribing on your feed and I am hoping you write again soon!
Also visit my weblog ; philip ii of spain paintings

Anonymous said...

Excellent pieces. Keep posting such kind of information on
your page. Im really impressed by your blog.
Hello there, You've done an incredible job. I'll certainly digg
it and for my part recommend to my friends. I'm sure they'll be benefited
from this website.
Also visit my web-site :: theverve.co.uk

Anonymous said...

Magnificent website. Lots of helpful information here. I am sending it
to a few pals ans additionally sharing in delicious.
And naturally, thanks in your effort!
Feel free to surf my web blog www.Murciaproperty.net

Anonymous said...

Howdy! Someone in my Myspace group shared this
website with us so I came to look it over. I'm definitely loving the information. I'm bookmarking and will be tweeting this to my followers!
Terrific blog and outstanding style and design.
My web page ; ftp.primorsky.ru

Anonymous said...

Hi there! Someone in my Facebook group shared this
website with us so I came to take a look. I'm definitely loving the information. I'm book-marking and will be tweeting this to my followers!
Superb blog and terrific design.
Look into my webpage :: mead

Anonymous said...

You made certain fine points there. I did a search on the


theme and found most

persons will have the same opinion with your blog.
Feel free to visit my site ... weather chart for spain

Anonymous said...

I have to express my admiration for your kind-heartedness giving support

to those people that really

want assistance with this area. Your very own commitment to getting the message
up and down was unbelievably

productive and has truly encouraged workers much like
me to achieve their goals. The insightful instruction means a lot to me and especially to my office workers.
Regards; from each one of us.
Visit my web page ; dimities

Anonymous said...

That is very interesting, You are a

very skilled blogger. I have joined your feed and look forward
to in the hunt for extra of your excellent post.
Additionally, I have shared your website in


my social networks!
Also visit my weblog - mangey

Anonymous said...

Hello There. I found your blog using msn. This is an extremely well written article.

I’ll

make sure to bookmark it and return to read more of
your useful information. Thanks for the

post. I’ll certainly comeback.
Take a look at my webpage ; Follow Us

Anonymous said...

This actually answered my downside, thanks!
Review my blog post - lagunas

Anonymous said...

Hello there, You have performed a great job.


I’ll certainly digg it and individually recommend

to my friends. I'm sure they will be benefited from this web site.
My website : Unknown

Anonymous said...

Unquestionably consider that which you said. Your

favorite reason appeared to be on the internet the

simplest thing to be mindful of. I say to you, I definitely get irked
whilst people think about

issues that they just don't understand about. You

managed to hit the nail upon the highest and also defined out the

whole thing without having side-effects ,

people could take a signal. Will likely be back to get more. Thank you
Feel free to surf my web blog http://www.illegalvillasspain.com/villasellingscamsspain.Html

Anonymous said...

I like the helpful info you provide in your articles.
I will bookmark your weblog

and check again here regularly. I am quite certain I will learn
lots of new stuff right here! Best of luck for the next!
Review my page - bullfighting Making spain see Red

Anonymous said...

Hey I am so

delighted I found your blog page, I really found you by

accident, while I was browsing on Digg for something

else, Anyways I am here now and would just like to say many thanks
for a fantastic post and a all round

thrilling blog (I also love the theme/design), I don’t have time to
read through it all at the moment but I have saved it and also

added your RSS feeds, so when I have time I will be back to read much


more, Please do keep up the fantastic work.
Stop by my page - www.marten.com

Anonymous said...

There is noticeably a bundle to know about this. I believe
you made various good points in

features also.
Have a look at my website ; http://www.amigofever.com/index.php?do=/blog/20136/abcs-with-the-country-of-spain-absolutely-free-similar-article

Anonymous said...

Well I sincerely enjoyed studying it. This tip procured by you is
very effective for correct planning.
Also visit my weblog :: free ads classifieds Figueres

Anonymous said...

Hey! Do you know if they make any plugins to assist with

Search Engine Optimization? I'm trying to get my blog to rank for some targeted keywords but I'm not seeing very good

gains. If you know of any please share. Appreciate it!
Also visit my web blog - http://valenciaproperty.sosblogs.com/Valencia-property-b1/Moving-To-The-Costa-Del-Sol-b1-p78.htm

Anonymous said...

Hi there! I simply want to give an

enormous thumbs up for the good information you could have here on this post.
I shall be coming back to your blog for more soon.
My homepage :: interesting facts about spain olympics

Anonymous said...

Howdy very nice website!! Guy ..

Excellent .. Amazing .. I'll bookmark your blog and take the feeds

also…I am glad to search out so many

useful information here within the put up, we'd

like work out extra strategies in this regard, thanks for

sharing. . . . . .
My website - http://applesweet.Pixnet.net/blog/Post/23503055

Anonymous said...

It's a shame you don't have a donate button! I'd certainly donate to

this superb blog! I guess for now i'll settle for

bookmarking and adding your RSS feed to my Google account.
I look forward to brand new updates and will talk

about this blog with my Facebook group. Chat soon!
My web site > property classifieds Valverde Gomera

Anonymous said...

I have been browsing online more than 3 hours nowadays, but
I by no means discovered any interesting article like yours.
It’s pretty worth enough for me. In my

opinion, if all webmasters and bloggers made

good content as you probably did, the web shall be much more useful than ever
before.
Here is my website ; www.Diysolarheatingspain.com

Anonymous said...

I must voice my appreciation for your kind-heartedness supporting those who need help on in this

study. Your personal dedication

to passing the message up and down came to be astonishingly

effective and have regularly empowered guys just like me to attain their targets.


This warm and friendly recommendations denotes

much a person like me and somewhat more to my colleagues.

Best wishes; from each one of us.
Here is my web site :: Garbolino.Fr

Anonymous said...

Thank you for another magnificent post. Where
else could

anybody get that type of information in such an ideal way of writing?
I've a

presentation next week, and I'm on the look for such info.
My blog post - drug possession attorney

Anonymous said...

I like what you guys are up too. Such clever work and reporting!
Keep up the

excellent works guys I’ve incorporated you guys
to my blogroll. I think it will improve the value

of my site :)

my homepage ... www.gloriouslinks.com

Anonymous said...

I just wanted to send a quick word so as to

say thanks to you for these fabulous suggestions
you are showing at this site. My

time-consuming internet look up has at

the end of the day been paid with reputable facts and
strategies to

write about with my friends and family. I 'd admit that we site visitors actually are unquestionably blessed to be in a really good

community with many marvellous people with interesting suggestions. I feel

pretty fortunate to

have seen your entire site and look forward to many more excellent moments reading here. Thanks a lot once again for all the details.

my web-site :: http://Topseobacklinks.com/

Anonymous said...

Thank you for some other informative web site.
Where else could I get that kind of information written in such a

perfect way? I've a venture that

I am just now running on, and I've been on the glance out for

such info.

Also visit my blog post; http://fattytofancy.com/members/travismartin1984/activity/34815

Anonymous said...

I am constantly browsing online for tips that can assist me.
Thx!

my blog post ... dimwito.com

Anonymous said...

Good post. I be taught something more difficult on completely different blogs everyday.
It should always be stimulating to read content material from different

writers and apply a bit of

one thing from their store. I’d favor to use
some with the

content on my blog whether or not you don’t mind. Natually I’ll

provide you with a link in your web blog. Thanks for sharing.


Feel free to surf to my weblog http://Moodle2.Ktk.Nyme.hu/user/view.php?id=55533&course=1

Anonymous said...

Thanks a lot for sharing this with all of us you really know what you're talking about!

Bookmarked. Kindly also visit my site =). We could have a link exchange

arrangement between us!

my homepage; http://paytaht.com/index.php?do=/profile-1131/info

Anonymous said...

great points altogether, you simply gained a new reader.

What would you suggest about your post that you made some days ago?
Any positive?

Also visit my website; myqsk.ir

Anonymous said...

Simply want to say your article is as astounding.
The

clarity on your submit is just nice and i can
assume you're

knowledgeable in this subject. Fine together with your permission

let me to grab your feed to stay updated

with approaching post. Thanks 1,000,000 and please carry on the rewarding work.

Look at my blog; http://Creativus.lv/index.php?option=com_blog&view=comments&pid=27361&Itemid=0

Anonymous said...

Thank you for another informative site. Where else could I get that kind of information written in such an ideal way?
I have a venture that

I am just now operating on, and I have been at the look out for

such info.

Also visit my web-site ... hementanisalim.com

Anonymous said...

Awsome blog! I am loving it!! Will come back again. I am bookmarking your feeds also.


my web-site; http://www.purevolume.com/teofilaboyd1977/posts/4595592/The+Secret+To+Successful+Spanish+Property+Investment

Anonymous said...

You can definitely see your expertise within the work you write.
The sector hopes for more passionate writers such as you who are not afraid to mention how they believe.

Always go after your heart.

my web blog ... homepage

Anonymous said...

Hi I am so glad I found your web site, I really found you by
mistake, while I was looking on Digg for something else, Anyhow I
am here now and would just like to say many thanks for a fantastic post and a
all round exciting blog (I also love the theme/design), I don't have time to read through
it all at the minute but I have bookmarked it and also added in your RSS feeds,
so when I have time I will be back to read more, Please do keep up the fantastic work.


Also visit my web blog cialis uk supply

Anonymous said...

You actually make it seem so easy with your presentation but I
find this topic to be really something that I think I would never understand.
It seems too complex and extremely broad for me.

I'm looking forward for your next post, I will try to get the hang of it!



My blog :: รับทำseo

Anonymous said...

I just could not leave your website before suggesting that
I really enjoyed the usual information an individual supply for your guests?
Is gonna be again continuously to check up on new posts

My webpage: เรียนต่อต่างประเทศ

Anonymous said...

It's a shame you don't have a donate button! I'd most certainly donate
to this excellent blog! I guess for now i'll settle for
bookmarking and adding your RSS feed to my Google account.

I look forward to new updates and will share this blog with my Facebook
group. Talk soon!

Also visit my page :: free psn codes download no surveys
(http://www.jasonshin.com/)

Anonymous said...

Hello very nice blog!! Man .. Excellent ..
Amazing .. I will bookmark your blog and take the feeds additionally?
I'm satisfied to find so many helpful info right here within the post, we need develop more strategies on this regard, thank you
for sharing. . . . . .

Feel free to visit my blog ... Minecraft pocket edition iphone download

Anonymous said...

Great work! This is the kind of information that are
meant to be shared across the web. Shame on the search engines for now not positioning this put up higher!
Come on over and discuss with my site . Thanks =)

Feel free to surf to my web-site ... best web hosting cnet reviews

Anonymous said...

I have been surfing online more than 4 hours today, yet
I never found any interesting article like yours. It's pretty worth enough for me.
In my opinion, if all site owners and bloggers made good content as you
did, the internet will be much more useful than ever before.



Here is my homepage ... psn code generator setup

Anonymous said...

After looking into a few of the blog posts on your site, I really like
your technique of writing a blog. I book marked it to my bookmark webpage list and will be checking
back soon. Take a look at my website too and let me know how you feel.


My homepage; best web hosting services for small business

Anonymous said...

This is very interesting, You are a very skilled blogger.
I have joined your feed and look forward to seeking more of your wonderful post.
Also, I've shared your web site in my social networks!


Here is my weblog ... ครีมบํารุงผิวหน้า

Anonymous said...

Thanks very interesting blog!

Feel free to visit my page - http://fatlossfactorz.tumblr.com/post/74725049321/weight-loss-program

Anonymous said...

You ought to take part in a contest for one of the best blogs on
the web. I most certainly will highly recommend this site!


Also visit my web page :: adsense account

Anonymous said...

Greetings! I've been following your blog for a loong time now and finally got the courage to go ahead and give
you a shout out from Dallas Tx! Just wanted to say keep up the
excellent job!

Visit my page :: clash of clans hack

Anonymous said...

My spouse and I stumbled over here coming from
a different web address and thought I should check things out.
I like what I see so now i am following you. Look forward to exploring your web page yet again.

my weblog ... My Lead System Pro

Anonymous said...

Hi, all is going sound heгe and ofcourse every one is sharing
facts, tɦat's genuinely good, keеp up writing.


Lookk at my blog: nab personal loans ()

Anonymous said...

bookmarked!!, I really like your site!

Feel free to visit my web blog; consultants for pay per click

Anonymous said...

It's an remarkable piece of writing for all the internet people; they will take benefit fdom it I amm sure.


Feel free to surf to my site - stamped concrete nh

Anonymous said...

We absolutely love your blog and find almost all
of your post's to be what precisely I'm looking for.
Does one offer guest writers to write content available for you?
I wouldn't mind writing a post or elaborating on many of the subjects you write regarding here.
Again, awesome web site!

my web site - millionaire creator program

Anonymous said...

This is my first time visit at here and i am genuinely happy to read everthing at
one place.

Also visit my website: angular cheilitis yeast (youtube.com)

Anonymous said...

I like the helpful info you provide in your articles.
I'll bookmark your blog and check again here frequently. I'm quite
sure I'll learn many new stuff right here! Good luck for
the next!

Feel free to visit my page :: web design

Anonymous said...

I’m not that much of a online reader to be honest but your blogs really
nice, keep it up! I'll go ahead and bookmark your site to come back in the future.
Many thanks

My web site renovating homes, homeimprovementdaily.com,

Anonymous said...

Hey There. I found your blog using msn. This is a really well
written article. I'll make sure to bookmark it and come back to read more of your useful
information. Thanks for the post. I'll definitely return.

my page weak bladders

Anonymous said...

Keep on writing, great job!

Feel free to visit my web page; golf galaxy

Anonymous said...

Way cool! Some extremely valid points! I appreciate you penning this post and the rst of the site is
als really good.

Feel free to visit my web site: bisnis herbalife

Anonymous said...

whoah this blog is great i really like studying your articles.
Stay up the great work! You already know, many individuals are hunting around for this info, you can aid them greatly.


Visit my webpage; karate Grand rapids

Anonymous said...

Spot on with this write-up, I actually believe this web
site needs far more attention. I'll probably
be returning to see more, thanks for the information!

Here is my web page ... grandville jewelers repair

Anonymous said...

What most people do not comprehend is that consolidating loans is
not a "quick repair". This enables more individuals to attain their lengthy awaited aspiration. Ruth utilized a credit card for that with
out any issue.

Review my page fha approved condos - ,

Anonymous said...

I was pretty pleasedd to uncover this great site.

I wanted to thank you for ones time for this fantastic read!!
I definitely liked every bit of it and i alsso hqve you saved as
a favorite to check out new thingfs on your blog.


Also visit my homepage :: m88

Anonymous said...

Hi there i am kavin, its my first time to commenting anywhere, when i read this
piece of writing i thought i could also make comment due to this good
paragraph.

My web page; game room

Anonymous said...

Heya i'm for the first time here. I found this board and I find It really
useful & it helped me out a lot. I hope to give something
back and aid others like you aided me.

Here is my weblog public storage rates bc (Http://in-koreataste.com)

Anonymous said...

great issues altogether, you just received a new reader.

What would you recommend in regards to your post that you made some days in the
past? Any sure?

Feeel free to visit my homepage ... pic-1

Anonymous said...

Heya i am for the first time here. I found this board and I find
It really useful & it helped me out a lot.

I hope to give something back and help others like you helped me.


Check out my blog christmas car gifts; ,