DOW crash

Discussion in 'Politics & Religion' started by demosfen, Jul 26, 2007.

  1. WebdevHowto

    WebdevHowto Peon

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    #21
    Darn the stock market, good thing that all those people in third world countries don't have to worry about their investment because they don't have any, lucky them.
     
    WebdevHowto, Jul 27, 2007 IP
  2. The Webmaster

    The Webmaster IdeasOfOne

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    #22
    What are you talking about mate.. I've to keep an eye on stock market all the time and it gives me nightmare sometimes.

    People in third world countries dont have any investment?? Pretty sure you never visited one ;)
     
    The Webmaster, Jul 27, 2007 IP
  3. tbarr60

    tbarr60 Notable Member

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    #23
    I live in CA and my neighborhood peaked around $650k last year and it's still there. Sales are slow but values are holding up despite what you want to think. My wife and I are considering buying an investment property but the prices just won't come down enough. :(
     
    tbarr60, Jul 27, 2007 IP
  4. demosfen

    demosfen Peon

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    #24
    It's summer 2007 and you still think CA real estate is good investment. Foreclosures up 800% and they are not even talking about 'soft landing' anymore...
    My plan is wait it out, sell gold in a few years, and buy foreclosed property from people who rode the bear market all the way down, or stocks. It's psychologically difficult to sell something when it's going down, there is going to be a lot of them
     
    demosfen, Jul 27, 2007 IP
  5. tbarr60

    tbarr60 Notable Member

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    #25
    Becareful with those numbers..800%. It's comparing a time when a house would appreciate $100,000 before you made $10,000 and the worst buyers could refi their way out of bankruptcy so you your saying that its 8 times approximately 0%.

    I have a friend that started waiting for real estate to come down from it $200,000 average for a SFR in SoCal. He's now renting and the house he is renting is worth about $800,000. The fact is a $39,000 house from 1975 was worth $200,000 in 1990 and is worth $600,000 now. My advice don't wait, buy and hold real estate.
     
    tbarr60, Jul 27, 2007 IP
  6. marketjunction

    marketjunction Well-Known Member

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    #26
    You know, you can short stocks too. ;)

    As for REI, it's been correcting. There's still some left, but each market is different.

    There's a % of the demand who now can't get financed (thanks to subprime fiasco). Adding demand reduction on top of over supply is a nice recipe for buying opportunities.

    I can't lie. I am absolutely loving this. So many opportunities are opening up at once.

    We'll see the DOW go down a little more, but it will come back. From now until about OCT is the "even steven" period. Look for the DOW end around 14,000.

    Bottom line, even poor investors were up 15-30% on the year before this pullback. You'd really have to be, well let's just say out of it, to be anything less.

    For most of the year, you could throw darts and buy what you hit and still profit.
     
    marketjunction, Jul 27, 2007 IP