"Buy a House... Then Buy Another"
By Steve Baklaich, Treating Buyers & Sellers to Full Service Always.
(RE/MAX Results St Cloud Mn real estate)
"Buy a House... Then Buy Another". Today's home prices are on a par with about 2004 in St. Cloud MN, but the home affordability is probably more like 1996 according to Chris Mayer of Daily Reckoning. Adjusted for inflation he suggests today's affordability is 30% lower than 1996. Put simply, affordability is the price you pay per month, not the gross sale price. It's how your paycheck is impacted by owning the home, and the mortgage that usually comes with it! The quote was originally attributed to Adam Smith on the Dick Cavett Show in 1971, but it's good advise today, being repeated by some of the best in the investment business, like John Paulson (a hedge fund manager; he made 2.5 billion personally betting against the sub-prime lending market) who called the housing bust in '07. Paul...
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