Comments on: Investing During Inflation: Real Estate http://amoderngal.com/2009/06/07/investing-during-inflation-real-estate/ Healthy Living, without Breaking the Bank Wed, 08 Feb 2012 07:36:10 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Elizabeth http://amoderngal.com/2009/06/07/investing-during-inflation-real-estate/comment-page-1/#comment-6775 Elizabeth Thu, 01 Apr 2010 18:26:51 +0000 http://amoderngal.com/?p=1159#comment-6775 Del, sounds like a good plan. Just be sure to sell when necessary. Del, sounds like a good plan. Just be sure to sell when necessary.

]]> By: Del http://amoderngal.com/2009/06/07/investing-during-inflation-real-estate/comment-page-1/#comment-6772 Del Thu, 01 Apr 2010 16:39:35 +0000 http://amoderngal.com/?p=1159#comment-6772 I'm buying Reo homes that need little repair at discount prices in the nicer neighborhood areas and renting them out. Although I am financing them they are cash flowing or near to cash flow. The market seems strong for these homes and I am getting nice tax breaks. My plan is to wait for inflation (which is certainly on the way) and at the right time sell the homes. Other than paying taxes on the profits whats wrong with my plan ? I’m buying Reo homes that need little repair at discount prices in the nicer neighborhood areas and renting them out. Although I am financing them they are cash flowing or near to cash flow. The market seems strong for these homes and I am getting nice tax breaks. My plan is to wait for inflation (which is certainly on the way) and at the right time sell the homes. Other than paying taxes on the profits whats wrong with my plan ?

]]> By: Elizabeth http://amoderngal.com/2009/06/07/investing-during-inflation-real-estate/comment-page-1/#comment-2005 Elizabeth Sun, 28 Jun 2009 04:31:20 +0000 http://amoderngal.com/?p=1159#comment-2005 Paul, good points. Paul, good points.

]]> By: Paul http://amoderngal.com/2009/06/07/investing-during-inflation-real-estate/comment-page-1/#comment-1933 Paul Mon, 22 Jun 2009 13:39:19 +0000 http://amoderngal.com/?p=1159#comment-1933 From the lens of current inflation rates, real estate does look bad. Historically, real estate does well during inflationary periods. I expect that this will be true in the coming years as well. Inflation is really the only way out of the real estate bubble for many. However, in the areas that aren't way out of line with historical pricing, real esate will be a great inflation hedge From the lens of current inflation rates, real estate does look bad. Historically, real estate does well during inflationary periods. I expect that this will be true in the coming years as well. Inflation is really the only way out of the real estate bubble for many.

However, in the areas that aren’t way out of line with historical pricing, real esate will be a great inflation hedge

]]> By: Elizabeth http://amoderngal.com/2009/06/07/investing-during-inflation-real-estate/comment-page-1/#comment-1743 Elizabeth Thu, 11 Jun 2009 14:01:48 +0000 http://amoderngal.com/?p=1159#comment-1743 Bret, yes, the points you raise have underpinned the desirability of real estate. In my opinion (which is simply my opinion), many of the advantages such as leverage, lower capital gains taxes compared to stocks, are only advantageous if prices are going up and if property is actually transacted. The situation is very local, and while I believe many localities may present real estate investment opportunities, I am skeptical that we will have a quick return to a booming market. Bret, yes, the points you raise have underpinned the desirability of real estate. In my opinion (which is simply my opinion), many of the advantages such as leverage, lower capital gains taxes compared to stocks, are only advantageous if prices are going up and if property is actually transacted. The situation is very local, and while I believe many localities may present real estate investment opportunities, I am skeptical that we will have a quick return to a booming market.

]]> By: Bret http://amoderngal.com/2009/06/07/investing-during-inflation-real-estate/comment-page-1/#comment-1739 Bret Thu, 11 Jun 2009 04:51:32 +0000 http://amoderngal.com/?p=1159#comment-1739 These are some great points and they are all definitely valid. But, there are also many positive points of invsting in real estate that have been overlooked in this post. Avantages such as leverage, preferred tax treatment and the practical value of a real asset help to counter some of the negatives listed above. These are some great points and they are all definitely valid.

But, there are also many positive points of invsting in real estate that have been overlooked in this post. Avantages such as leverage, preferred tax treatment and the practical value of a real asset help to counter some of the negatives listed above.

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