Is this a sign that we are in for another crash?

[Justin Cabral]

Newbie question for those members that are well engrained into the RE investment space. I am looking to begin leveraging cash I have in REI to increase my wealth and create future financial independence.

The townhome I live (Doral, FL) in I purchased in 2011 when prices were very in favor of the buyer. I purchased for 217k. The previous owner purchased new for 338k in 2006 when values were really booming and the market was approaching a downturn.

Today the townhome is back to that 2006 valuation (worth about 340k) and that makes me a little nervous about beginning to invest in RE due to fear that we are heading for another crash. Is this a sign? 

Can you please share their thoughts and philosophies?

[David Krulac]

@Justin Cabral

I've bought and sold over 900 properties for my personal inventory.  I buy when the markets are good, and I buy when the markets are bad.  The only difference is I get better prices when the market is bad.

I do Buy and Hold, as well as rehabbing, flipping, land development, tax sales, sheriff sales, REOs, scattered lots, and other investing.  By doing multiple types of real estate, the mix changes with the times.  When there is a large inventory of vacant lots on the market, I'm not creating more vacant lots.  When there are fewer foreclosures to buy, I buy less.

I don't worry about the ups and downs of the market because I'm always a buyer.

And the longer that you own a property the less market fluctuations affect you.  If you own a property for 20 eyars, the market changes in the interim are irrelevant.