Reply: 1.1.2.1.1.1.1.1.1.1.1.1.1.2
From: Anonymous
H T,
Due to my popularity on this web site and support for IP's, I'd rather not post my name. Unfortunately, I am not as supportive as I was a year or two ago as using property to create wealth, unless you really, and I mean really know what you are doing and are in a niche market.
I believe that we are in a very volatile period and it's the amateurs who are going to get burnt. Ie, people who have read a few books, have 1 to 3 years experience, maybe have 1 investment property, watch "Location, location" & "Hot Property" on TV, etc, etc...you get the drift and have way too much confidence in themselves and the market.
A house I bought in 1990 for $120K is now worth $360K. It has tripled price in 11 years. My salary back then was 45K per annum. It is now $85k per annum. My salary hasn't even doubled, yet my house has tripled! Get the drift! Little things like these that people tend to forget. I borrowed $40K back then, now I'd need to borrow $250K on a similar house. Could I afford to ride the storm if there was an economic change now, no, I have borrowed too much. Would I have to sell my house to survive, yes. Would somebody else pick up my property cheaply, yes, yes, yes. It's the little things in life people forget.......
Invest wisely my friends and don't get caught up in the buying frenzy.