Be careful out there

[Rishard Chapoteau]

Just wanted to share my story which isn’t so much about investing but the market as a whole and what’s going on right now.

Back in 2006 I was buying my first house to and the market was still hot where I lived. I had a bad feeling about the market as a whole and thought there was a chance we could have a recession but I figured I might loose 10% of my value for a small period of time if that and then things would turn around over time. Of course it turned out to be much worse then that.

I picked up my house for 345K which in the area was a normal price. I pretty much bought to t before the market took a turn and I was pretty much immediately under water on the house value. Six years later I had a hard time trying to sell that house on a short sale for 200k with nothing wrong with it whatsoever. That house today still isn’t back up to the original 345 I paid for it 14 years ago.

I’m not saying don’t invest right now, but I am saying be wary out there. The economy looks kind of shaky right now. Make sure you have a tight exit strategy planned out if things go south. Don’t assume that property will go up in value. Stay safe out there.