Warren Buffett had a great line. He said the secret to his success was that when other people became afraid, he got greedy, and when they got greedy, he became afraid. This is a week when people would be jumping out of windows on Wall Street, if the windows actually opened. In other words, this is a great time to get greedy.
Keep Cash on Hand for Great Opportunities!
However, this is obviously not a good time to get overextended! So who’s sitting pretty right now? The people who have a significant amount of cash they can invest. You need to have some serious coin both to buy the properties (because getting no-money-down mortgages at the moment might be, erm, problematic) and to hold them (because you can’t count on finding tenants right away).
And any decent deal you make this year is going to pay off so much more down the line. People still want to live in the United States and in particular, in certain states. Many of these got hit hardest by the housing collapse. Actually, I’m thinking of one in particular – Florida. Florida, I believe, is going to come back big time. Remember after all this passes, they will still have sunny weather, a good business climate, and a growing population.
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Article Author: Brendan O'BrienBrendan has written 62 articles for us.
Visit Brendan's Website: http://www.pcpropertymaster.com
Joshua Dorkin
{ 5 comments… read them below or add one }
Well traditionally wealthy people do not operate the way normal people do so I would definitely see some people foaming at the mouth to start investing in the stock market. They just play by different rules. And people are definitely going to continue to move to Florida. That is a no brainer, even with the bad hurricanes.
I have to say, I am not a fan of greed. Money and power is the root of all evil. If we didnt have money the world would be alot less stressful.
Dana
If we didn’t have money…the world would be centuries behind its current spot and would be a lot harder to live, having to barter for everything….and I don’t buy that whole money and power is the root of all evil quote….evil is from the inside; money can obviously make you more powerful and therefore branch out the evil, however is not the roots.
I love that quote. Somebody is going to get rich in all of this turmoil. I just don’t know who yet.
Dana, Money is not evil it is simply a tool. Do you think it is evil when you spend money to buy food for your children? Do you work for free?
Someone is going to make a killing in the real estate market, and I plan on taking advantage of every single thing that I can. The opportunities are out there right now, you just need to find them. Money makes the world go around, remember that.