A QUICK COMPARISON OF REAL ES F REAL ESTATE TO THE S OTHESTOCK MARKET Twice in the last 20 years, the S&P 500 has lost over 50% of its value. A swing of even 20%, 30%, or 40% can cannibalize a retirement account leaving them with diminished balances & no dependable income to fund a comfortable lifestyle. As of December 30, 2008 the Real Estate market's home price index had recorded the largest drop in history, some have estimated that the total loss of household wealth is around $19 trillion dollars.
That represented a 50% drop in market value in some areas.
Both the Real Estate Market and the Stock Market dropped by 50%. Within a few years both markets had fully recovered and are both worth more today. Bottom line is SELL WHEN THE MARKE ELL WHEN THE MARKET IS HYP T IS HYPER (like today) and don't sell when the blood is running in the streets. FINDING THE RI G THE RIGHT PROPERTIES IN A N TIES IN A NORMAL MARKET There are plenty of different kinds of rental properties to invest in. The first decision is whether you’re interested in commercial or residential properties. If it’s the latter, do you want single- family homes, multiple-unit homes, or apartments? We’ll get into the details of these different types of properties in a little bit. But regardless of whether you’re planning to rent out a condo or a strip mall, it’s important not to look for the cheapest properties. When it comes to rentals, this isn’t necessarily the right strategy. You should be more concerned about how much
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