If not, then you're basically holding it for speculation (hoping that the value will go back up).

Investing based on appreciation as a core motive is speculative at best.

If you don't put out an offer, all we can do is speculate since we are not your seller.

Essentially, you purchase a property for less than 80% of it's appraised/speculated/compared value and then refinance to get your cash back out.

Suppose something like the 2007 housing bubble burst again, if I am invested in a cash flow property rather than a speculative appreciation property do I have anything to worry about?

<fill in the blank here with one or more rationalizations>.Hope is not a plan, and rationalizations are very, VERY expensive.This isn't investing...this is at best speculating.

Speculators are expecting quarter million dollar pay outs in this neighborhood.

Short sales are more speculative.

Just speculation...it may work out fine.

For me it’s a bit of speculation because of the volatility of the Vernal oil market but when oil really rebounds my townhouse, which currently rents for $800, should be renting for 1200-1500 depending on how hot the oil market becomes.