So when will things finally pick up? When will we boom again? When will real estate begin moving again?
I’m not so sure these ideas have enough financial motivation behind them to matter, here’s why…
I was talking to a foreclosure attorney today and he said “if real estate ever picks up…”
I said to him “I was thinking the same thing [with respect to financial markets]”. I mean there’s lots of guys out there making lots of money on this volatility! Seriously.
Take Real Estate and let’s get that out of the way so we can talk about the Stock Market. Write downs on bad loans make the banks bottom line look good and they still own the real estate ?? Wish I could do that.
But back to the stock market. After 14 years behind the desk I can tell you I made money on good days and bad days and so can you. Market heading up I’m buying DIA (for example), Market heading down I’m buying (symbol) DOG. Or better yet I’m putting in the 2 trades at the same time, let’s say the DIA buy (and the appropriate stop-limit sell) with a DOG buy-limit order should the market correct. Now I sit by the monitor and watch. If I’m up 1% (or even less depending on ‘the bet’) BINGO I can pull the trigger. Voila.
Think about it…..If I can cap 1% a day x 200 trading days a year…You do the math.
And if i use leveraged ETFs ?? Investment Banks are having a field day. “Come on boys, what do ya say Caymans’ this weekend?”
The buy-n-hold strategy we grew up with simply is not working now, nor can it in this environment. But, “it’s all good”… you can do much better with this market.
Now, let’s get back to real estate. I think ‘those guys’ are up to the same thing…..
The rich are getting richer, the poor are getting poorer. The numbers bear me out. Is there an answer? Yes
Let’s get rich.