I'd ask this question: What would be the trend or predictions in the real estate economy for the next ten years?

Originally posted by Tod Radford:I heard a quote this morning from an organic chemist:"Dilution is the Solution to the Pollution" let's hope so...Sound like Johnnie Cochran is making some bold predictions!

Predicting the future is always a dangerous game.

Sure, the lender may not know, but if they specifically told you, "We will make the loan only to you, not a business entity," and then you thumb your nose at them and transfer the title to the property (and they find out about it), I predict a bumpy, unhappy, and short-lived relationship.You should be able to put the collateral into a business entity and then either do a personal guaranty for the business borrower, or, for an even more "belt-and-suspenders" approach, be a co-borrower alongside the business.As for your personal liability risks (non-debt related), you can cover most of those with insurance.

I think they have set interest rates now so it may be easier to predict what you would be paying.

I've been focusing almost totally on cash flow, but I just wanted to make sure I wasn't making a big mistake or missing profit because I wasn't considering appreciation.Of course, with my time frame, we're talking about something that no one could predict with much certainty.

That leads to an interesting thought on predicting development.

I think you're over thinking this, Bryan.Nobody can accurately predict 20 years of inflation, your income increases (or decreases) or how much will be available when.

It's worse.New data just out from Zillow, the real-estate information company, show house prices are falling at their fastest rate since the Lehman collapse.Average home prices are down 8% from a year ago, 3% over the quarter, and are falling at about 1% every month, according to Zillow.And the percentage of homeowners in negative-equity positions — with a home worth less than its mortgage — has rocketed to 28%, a new crisis high.Zillow now predicts prices will fall about 8% this year and says it no longer expects the market to bottom before 2012.

In addition, reading the news about Zillows new reports today, I believe they are predicting another 10% drop.