Filling up your tank empties out your wallet

When I first saw this picture, I thought it was hilarious. In an instant, you know by looking at the gauge that as you fill up your tank, you empty your wallet. This was emailed to me from a friend. I must say, it is pretty creative, whomever thought of it.

Walking Uphill In The Snow Both Ways
Then the next day, I took my Hyundai to the gas station. It took $54 in regular unleaded. I've had the car for a few years now, but I remember when I bought it, it only took $18 from dead empty. I can remember pulling into gas stations where the gas was more "expensive" and it took $20. I would think, "Wow! My car took $20!" This is starting to sound like one of those old people stories... "In my day, we had to walk uphill in the snow to school, both ways." The thing is that it wasn't that long ago. My youngest is only 6 and she was born when gas was under $1.50 a gallon.

Walking uphill in the snow..both ways
(My grandpa - walking uphill both ways in the snow)

What does any of this have to do with real estate? Other than the fact that people in the business are spending more than double taking clients around? The gas prices are a good example of just how much things have changed around us in such a short period of time. I went to India last December. I have a friend from India who told me he bought a lot in 2000 for $2000, and it's now worth more than $100,000. Based on what I saw when I was there, I can truly believe it. The developing nations are getting wealthy incredibly fast.

Our country's economic growth has always been based largely on the fact that our population grows. It's certainly not due to our exports, as we run huge trade deficits. Our government does a good job overall of keeping us stable, making our assets very attractive to the global investment community. Owning real estate in our country is also secure.
Copy and Pastecopy and paste
Hey, wait a minute. What happens if the rest of the world decides to copy and paste our operating model? You know, the one that's based on capitalism? It could mean opportunities for Americans to invest abroad. I have been looking at these types of opportunities myself. It could also mean all of that money controlled by the international investor crowd will find its way to other areas outside of our country.

Is There A Point Here?
Yes. The point is this. Have you ever met with a "financial advisor" and had him/her show you those charts that picture how the stock market has performed very well since the WWII? Guess what, it takes money coming into a market to drive up the valuations. If the international community finds new places for their money, the future growth potential of the stock market is very limited. So, where can I invest?

Come on, take a guess? Any thoughts? How about real estate? (Did you know I was going to say that?) My first blog about real estate was called Real Estate - The Fundamental Asset of Earth. As long as our population continues to grow (and it will as long as we continue to maintain a good quality of life for our citizens and flexible immigration laws), our real estate values will continue to rise. Buy now, while prices are down, rates are down and the numbers are actually making some sense again. Thanks for listening.

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5 Comments on Another day, another $3.20 per gallon

MAR
30
2008
227,790 Points 1 Featured Post Outside Blog
I have been driving a ton lately.  Its killer....$3.10 is what I am paying.
8:22pm • #1
Your second to last sentence says it all. Prices and rates are down. It is a great time to invest in real estate.
8:32pm • #2
Boy, you guys have it cheap where you are at. If I use the cheap stuff it runs at least 3.51 a gallon, super unleaded runs almost 4 bucks a gallon.
8:59pm • #3
$3.51?!?!?!?! Ouch!
9:47pm • #4
131,142 Points 1 Featured Post Outside Blog

Stacey:

I think it is time for me to buy a bike. Hope my clients don't mind being towed in a bike taxi. ha

10:36pm • #5

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Stacey Brown, REALTOR®

Colchester, CT

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ILM Realty

Office Phone: (800) 237-0917

Cell Phone: (203) 605-5290

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