Originally posted by whgates3
cheap borrowing makes real estate such a popular investment that it artificially inflates the market prices of the real estate by increasing the investor pool. in a few years the stock market will pick back up & the excess capital will slosh back there. it is quite likely that a lot of $200,000 houses are being bought right now that will be worth $150,000 in five years, and the owners still owe $170,000 on the 30 year loan
I got to say this is my take too . I bought a second home for my Mom when 4 years ago when they were a little cheaper . Last July I uped my 401 k when everyone was squeaking about how bad the market was .
Some better beware cause the real estate marker can do a real hurt on ya's . Farm ground here in 83 was 2500 a acre , a few years later , it went for 1100 at much cheaper interest rates . But try and go back to the bank and get those

, lol .
And no I don't farm , but my Dad did , he sold and retired back then .