For a couple in their working years that builds equity they should have enough PFS to "self insure" in the event of catastrophic risk past the length of the term policy...right?

I believe it tends to give me a slightly lower return, because the sponsor is going to be more careful, and if there is a severe downturn will prevent me from taking catastrophic losses.

I had listened and read as much information as I could from Biggerpockets (@David Greene 's book on out of state investing is pure gold), and knew enough to avoid the major catastrophes (like paying the contractor the full payment up front.).

(MLS properties of course)The equity losses, i've seen, on some properties are catastrophic.

To go along with my post above, here was my first post on the BP Blog a couple years ago...this should give you a better idea of why I like to have my license:http://www.biggerpockets.com/renewsblog/2010/02/10/controlling-your-real-estate-deals-manage-catastrophe/

In an absolute lease, the tenant caries every risk imaginable, including construction expenses, rebuilding costs from catastrophes and having to pay rent even if the building is condemned.

US Treasury has been delaying a catastrophe for sometime by printing cash and issuing IOU T-bills.

I do feel based on how things are going that enough hard working people that are not only landlords but other hard working middle class or upper middle class people are getting beyond sick of the system and the direction things are heading which is a direction towards Marxism which has had catastrophic consequences historically for obvious reasons In other countries.That being said I would like this post to updated through the year as I expect after next month cases will start to cut down for most if the country.

I also don't see gold being such a great hedge, if there was a major catastrophic economic event, the world powers would get together, wipe the slate clean and issue a brand new currency altogether.

Their argument was that in case something happened like a job loss or other catastrophic event, they could borrow on the equity of their paid off house.