[onewhippedpuppy]

Originally Posted by Porsche-O-Phile

Are you saying real estate will out perform inflation NOW?

You're kidding, right?

Historically real estate approximates inflation so effectively it's just a savings account that keeps your money socked away at current value. Today, it's a guaranteed loss. Five years ago it was a good bet.

It will take a long time for real estate to be a good inflationary hedge again, unless we get runaway/hyper inflation - which is a possibility I guess...

Jeff, you often forget that SoCal doesn't equal the USA. My side of town in Wichita has seen 6% yearly appreciation since forever. If there's no bubble, there's no bubble to pop. Of course, 6% yearly just barely keeps up with inflation, so you're not getting rich either. But, a solid market plus a little sweat equity can make for a good profit.