Actually that's not called investing either...assuming you have equity is called speculation.

Also I would be speculating that the property value would at least stay above what I originally purchased at 3 years ago.

Some people buy rentals speculating on appreciation.

If you want to speculate on where cities will head stay with anything near the water.

Flipping, etc is speculating IMHO, not investing.In short here is what I do....Scenario 1...a) Contact a few realtors I know who know how to look for good properties.

I think many of the speculators who jumped into the market last year will have a tough go of it this year.

Sony Corporation (SNE)Purchase Price: 41/shareCurrently Trading: 50/share (Up 28%)Sony is finally feeling the cool air after a very speculative battle with the Toshiba corporation over their HDDVD/BluRay Market push.

If you are speculating, then that would require an entirely different analysis.

It is called SPECULATION.

Similar to CA, where prices shot up to the moon on greed, speculation, and stupidity.