Quote:
Originally Posted by Alan A
Until prices crash.
These are people who saw what happened on 07-8 and don't want to get hit the same way. Renting allows them to walk away.
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I'd say that the financial system is pretty messed up. The stock market value seems to be based more on speculation rather than sound fundamental economic principles, I see the US approaching a point where the GDP won't pay the interest on its debt, real estate does produce bubbles and so forth. But, what are historic prices for the area, how far do you expect prices to crash, where do you expect interest rates to go, and when(if) the RE market crashes will you have access to the funds necessary to purchase? All questions to consider. I bought and rebuilt what might have been a tear-down, which when I sold it provided the down-payment for a house that I bought and lived in for a year and sold (not recommended) as the RE market crashed and didn't lose any $, and built my current home. I didn't use a realtor for the second sale, and I've done the work myself, was the general contractor and carpenter for the restoration and build. I have done just fine with my real estate investments without any special skills or knowledge. Don't spend more than you can afford, buy something you want to own and are willing to live in and hold on to, and you'll be fine financially. If you want the flexibility to relocate at your whim, your home isn't where you should be focusing on building equity.