All Forum Posts by: Account Closed

Hire a lawyer who's advice you think you will trust, if you after hearing the lawyers advice you don't trust the lawyers advice, fire the lawyer and attempt to hire a lawyer whose advice you will trust. 

I spent a fair amount of time on the phone with people in FL in 2005 that thought housing could collapse. I think we are headed for a major market correction over the next few years, just a matter of time. At some point I am going to liquidate the most volatile parts of my portfolio, and buy gold, unless I come up with a better plan.

From what I could tell a lot of investors lost jobs, so ate their rental income rather using it to pay mortgages and taxes. Many also had the income to make payments and choose to spend the money because they owed more than the value of the property. Interestingly I own a condo in a large association and none of their foreclosures or delinquent assessments were from investors. 

Rents in the Chicago burbs didn't go down very much during the housing crisis, some actually went up. Some other areas didn't fair as well. 

Yeah, again being safe is not the same as a hedge, completely different conversation. During the last real estate crash I lost about 200K in real estate equity, fortunately I had it to lose, and was able to invest in foreclosed properties near the bottom of the market and more than made up for the loss during the recovery. Had I had 1/3 of that 200K lost real estate equity been invested in gold it, would have completely hedged against housing price meltdown. 

Tom, I spent some some time in central NY about 8 years ago and bed bugs were a huge problem there than as well, a permanent regional invasion?

Sam, accountants post on BP from time to time, a lot of then favor boring long term holds, as do I. 

Nathan, all good risk management suggestions. My question though was related to asset classes that move in the opposite or at least a different direction than housing. Government and quality corporate bonds, and gold are all traditional hedges against recession, however not specific to housing. Shorting home builders, would be a more housing specific hedge. 

Shorting REITS?,shorting banks, purchasing delinquent taxes?