Just more media pablum. Ignore it. The links make me think it is as much an advertorial as it was serious journalism.
My dear friend Tevis Verrett, You have heard this before "you make money when you buy." You realize that profit when you sell. So you better hope we are headed for a correction. Crashes are when you make money.
My biggest fear is the economy will get better before I can get rich. However it looks like we could be headed for another bubble - burst cycle. Figure how to take advantage of that. - Ned
Something isn't right about that site. I saw that Wiedemer interview over 1 year ago and the article it was associated with also said something about a big crash coming soon and everyone should be prepared. Don't recall the exact info. For some reason, it looks more like a marketing gimmick to sell more copies of that book they are pushing.
Just more media pablum. Ignore it. The links make me think it is as much an advertorial as it was serious journalism.
My dear friend Tevis Verrett, You have heard this before "you make money when you buy." You realize that profit when you sell. So you better hope we are headed for a correction. Crashes are when you make money.
My biggest fear is the economy will get better before I can get rich. However it looks like we could be headed for another bubble - burst cycle. Figure how to take advantage of that. - Ned
There is no way to avoid business cycles. There will always be winners and losers in every cycle. Like Ned Carey says, you make money when you buy (unless you want to be at retail pricing and then some--good luck on that!!). As far as the Wiedemer info, he has been preaching about the bottom falling out for some tiime. Watch and listen to learn, but don't believe their every prediction.
The article in the OP talks about Warren Buffet dumping equities, specifically the consumer products sector. Berkshire Hathaway is the primary investment vehicle for Buffet. Investments by Berkshire Hathaway in equity securities as of March 31, 2013 and December 31, 2012 are summarized in a table on page 8 of their latest SEC filing. Source: http://www.berkshirehathaway.com/qtrly/1stqtr13.pdf
Investments in equity securities by Berkshire Hathaway increased from $50.507B to $51.075B. By industry sector, their basis for investments in equity securities in the Consumer products sector decreased from $7.546B to $7.374B. That's $172M or -2.3%. Hardley alarming, considering that they realized $2.541B in gains. That's $2.541B in gains on a $172M decrease in basis. That's called taking some profit off the table.
Dean Letfus - this is so true. We have personally lived this cycle, watching what was a pretty high end neighborhood age in place. Now we're just trying to get out before it declines further. We would never buy to hold in that kind of suburb as the rents cannot match the house values and cash flow appropriately. We should have moved when the high end local jewelers left and a thrift shop moved in. There was our sign...
Tevis- Take all the info you can get and make your own decision. Yes, we will have MAJOR corrections. No one can ever define that in advance-only after it occurs. Remember, the comments you receive from a Real Estate site are coming from the choir. It is like all the realtors singing praises of RE as it was going in the dumpster. Count me as one who prepares for the crash-and I have my own definition of what that means and what to do before, during and after. You would be well served to do the same, imo. Rich