Property investment as a long term strategy

April 8, 2009 by  

The real estate  investments market is extremely volatile at the moment. Many small investors have seen as much as ten year’s accumulated profit wiped out in one short year. Largely thanks to over-borrowing when credit was offered to poor risks.

Real Estate  investments should be seen as a long term investment only. Any wishing to get in and out quickly are at the mercy of the same market forces as any other commodity market. Values go up and down, but invariably the trend is a long, slow upward movement, with blips up and down along the way. 2006 saw the beginning of the current decline in values of homes and this trend looks set to continue downwards for the immediate future. At some point this will change, but it is almost impossible to predict exactly when this will occur.

Some markets are seeing more volatility than others. Dubai for instance has seen drops of over 50% in value in a few months time. Some are suggesting that Dubai’s luxury home market is finished, and those wishing to invest in property in  Dubai should consider carefully the implications of buying real estate in a foreign land.

The long term future should be good for house prices, but the short term certainly looks bleak. As with any investment decision, bear in mand that values go up as well as down, particularly over the next 5 to 7 years as global economies struggle to come to terms with the enormous losses of the financial services sector.

No one is in a position to accurately call bottom, or predict the future price of properties.

 

Related posts:

  1. 8 Tips for Long Term Skincare that Minimize Wrinkles
  2. Top 3 Tips for Saving Money on Term Life Insurance Coverage
  3. Does Term Life Insurance Have An Expiration Date?
  4. Training You Can Adopt to Discover How to Increase Your Short Term Memory
  5. Term Life schemes

Comments

9 Responses to “Property investment as a long term strategy”

  1. marchi on April 28th, 2010 12:01 pm

    UBS Financial Services: Senior Sales Trader (Toronto, CAN) #Jobs #TweetMyJOBS

  2. ger gani on May 6th, 2010 3:30 am

    Property Leads specializes in lead generation, marketing, and management services for real estate investors and wholesalers, offering a complete platform to buy and sell houses more efficiently.

  3. coll pietra on May 6th, 2010 7:21 am

    4BR/3BA 2160sf $419999 Brick Real Estate Property #realestate

  4. ino on May 10th, 2010 8:01 pm

    Hey there, want to make some quick cash. Want to be involved in legal binding business so to gain millions of $$$ without doing anything. Then visit http://www.us2jm.com/earn2day4tomorrow/intl.htm and join today. You will be surprise at your returns and how fast you will get your cash in your hands.

    If u join then u will get access to over a 100 e-books

  5. Mashable! on August 3rd, 2010 12:31 pm

    Major Mobile Carriers Teaming Up to Eliminate Credit Cards? -

  6. Jeremy L. on November 16th, 2010 12:46 pm

    I love Thierry Henry. I would rejoice if he came to MLS, because I would get to see him in person. Aside from that, I think it will be much better for MLS to get players from foreign leagues to come here before they turn 30, so that the career move is not seen as such a step down. It's great to have the wattage of big stars playing in the league, but long-term, it's not a strategy I'd support.

  7. Last Searches - Search, View and Download Online Files: logo pgri, car park structure design example, transvestite prostitute on June 4th, 2011 8:29 am

    #Higher Education Long Term Strategy #site:dikti.go.id http://www.pdfbulk.us -

  8. desagut on August 2nd, 2011 1:26 pm

    Questions dog Detroit Works plan: Advocates want to see long-term strategy

  9. Clusterstock on November 29th, 2011 2:25 am

    GROW THINK-ideas CAPITAL action FIERCE FIANCE THE FINANCIAL SERVICES DAILY MONITOR William Blair & Company, L.L.C.? Company enjoys a decades-long reputation for providing in-depth investment analysis on quality growth companies within six industry sectors: Renaissance Capital

Feel free to leave a comment...
and oh, if you want a pic to show with your comment, go get a gravatar!