investment property: OPM or Opium? Which one were we smoking?
- 02/20/09 01:00 AM
I'm a community banker and a commercial real estate lender. At the close of a recent Optimist Club meeting, a fellow Optimist posed this question: "Clark, how long do you think it will be before I'll be able to buy investment property again with a 10% downpayment?" I answered him as diplomatically as possible, but I was thinking, "If the system had been working properly and consistently, you should never have been able to do that in the first place." My point? 10% of acquisition cost isn't enough skin in the game in any economy. We've all had it beat into our collective … (5 comments)
I'm a community banker and a commercial real estate lender. At the close of a recent Optimist Club meeting, a fellow Optimist posed this question: "Clark, how long do you think it will be before I'll be able to buy investment property again with a 10% downpayment?" I answered him as diplomatically as possible, but I was thinking, "If the system had been working properly and consistently, you should never have been able to do that in the first place." My point?;)
;)
