Do you think real estate is a good investment?

Real Estate Agent with Weichert Commercial Affliates
So many people I come into contact with feel the market is going to drop in price anywhere from 25% to 50% before years end. This comes from the media shouting doom and gloom to sell papers. Give me your thoughts please on what you feel. I will come back in to share my thoughts later. Thanks for stopping in and posting in advance I want to say welcome.

Comments (5)

The TaxMan
Self Employed - Oakland, CA

Real estate is by far, the best investment, at least in terms of taxes.

You should check out our group, Real Estate and Taxes, there's a lot of information about why real estate is a great investment.  

Aug 08, 2007 11:14 AM
Monica Rich
Berkshire Hathaway Florida Realty - Coral Gables, FL
Coral Gables Real Estate

I have never lost money in real estate...  I think the days of flipping property are over... Long term, I couldn't think of a better place to put my money....That's my two cents  :)   Anxious to see what others have to say.

Aug 08, 2007 11:20 AM
Leon Austin
Mobile Notary Services - Colorado Springs, CO
Colorado Springs Mobile Notary

I'm invested in a REIT. It's down 11.34% since I bought the shares in November of last year. I'm in the market for the long term, so it doesn't worry me.


Aug 08, 2007 12:26 PM
Linda Moulder
Weichert Commercial Affliates - Upland, CA
Thank you all for droppiong in and responding. I am heartened that the doom and gloom is being replaced by positive feedback. I cannot get the newspapers to stop. This is much better to have actual people with experience put their stories down. In my 22 years of experience in real estate I have NEVER seen the prices go down. What I mean is my first property in 1970 was $17,000 TOTAL at 5% interest. I assumed the loan with $2,000 down. I have never seen those prices again. And that was an average sales price. When I hear people uninformed by virtue they get educated by media of newspapers, radio news and television news or good ol relative, neighbor or busybody experts emphatically state that real estate is a bad investment, you will lose money etc. I get annoyed because in reality not the case. Yes if one was misguided into a purchase by way of qualifying on stated income, no doc loans or down right Fraud to get a loan then yes they will lose their homes and it will not be because they are losing value. The price improvements of late are because the prices have been driven up too quickly and they have to stop at some point. Waiting it out for a few years and it will again go up in price. This has been the case historically since trading property has begun. Foreclosures are up but the inevitiable happened with so many unqualified people being allowed to purchase, with sales people driven by greed and not the true needs of the client. Then the prices go up because the market gets inflated. Now we are in a true market and adjustments are happening.  Any more thoughts on this subject would be appreciated. I will check in again later. Thank you once again for dropping by.
Aug 09, 2007 11:40 AM
Stephanie and Keith Glidden
Weichert Realtors Foothill Properties - Upland, CA
The Glidden Team

Like always, it depends on who you talk to. If it's a seller, the prices are not dropping and their house is worth more than market value. If it's a buyer, the prices will hit rock bottom any time soon!

Seriously though, statistics show that real estate is the best investment you can make, but you still have to do your homework. Just because you buy a home does not mean that you will make money on it. You have to get the right home, in the right location. Buy smart and you'll probably do ok over the long haul.

Aug 27, 2007 05:21 AM