Forecast of collapsing economy, what to think?

[Mylene Bel]

Hi BiggerPockets,

I came across this video (haven't had time to watch it through the end yet): https://youtu.be/oQJRGgTBn6w

The economist James Dale Davidson, who got famous from predicting the subprime crisis among other things, believes that the US economy is about to collapse in 2017 and that real estate will drop 40% in the next...six months!

What do you guys think of this warning? 

For me it seems too spooky to be realistic but apparently that guy was right several times in the past...

I would be curious to know your thoughts ;)

[Damir Kamber]

We are definitely due for another market correction. When it will happen, nobody knows. I suggest you check out the Real Estate Guys Radio Show podcast, they have some great insight last few episodes.

On the other hand, there is no need to panic. Make sure you are not over leveraged and figure out our personal investment strategy for when the market correction arrives. Also, these corrections are very market specific and just like in 2008, there will be markets where people will go and make money.

Cheers,

Damir