Do the latest economic issues make you want to buy or sell in this market?

[Springfield Chicken]

It seems that every other day we have a new sky is falling story in the news.  Some people hear that and see opportunities to buy investments, whether it's stocks or real estate.  Others go to ground and pull up the covers or sell everything they have so they are more liquid.  What does this latest round of news make you want to do?

[buckethead]

I don't think it is a terrible time to buy, depending on your future intentions.

Have we hit bottom in real estate? ----I don't think so.

Could values drop another 50%? ----Yes

Will they? ----I don't know.

Will we see a recovery in Real Estate prices within the next ten years? ----No.

[John P]

I have purchased two properties in the last year both at rock bottom prices. If you have the money to spend then now is the time to scoop up investments while they are relatively cheap. The values may drop another 10-15% or they may not. Either way you are making out with a good deal. It's all about what you pay for the property upfront. That's where your money is made in the long run.

[MusicMan]

All real estate is local. I can show you multiple properties in Riverside-Avondale that have SOLD in the last 6 months that brought in $180 sq ft or higher: that is equivalent to the pricing in 2006. Rents have dropped a bit (10-20%) but not as much as selling prices have in general.

Rent never goes away, if you buy a home then eventually if you pay on it long enough you own it.

Rent goes up over time, a fixed rate home loan will not although your taxes and insurance might. 

Prices are now irrationally low, the opposite of the peak of the Bubble. Think of it as a pendulum. It swung way out of wack back in 2004-07 and has now swung the opposite direction. When demand returns then pricing could correct quickly. 

[MusicMan]

P.S. These "multiple properties" i mention are not waterfront, just very nice homes in
turnkey condition in good locations.

[Dog Walker]

Have values held up better in the RAHD than in the City in general?

[MusicMan]

IMHO yes.

[emptycagegirl]

If I could afford to I would be snapping up properties in potential up and coming neighborhoods as much as I could right now. I have recently purchased my first home at an extremely low price and have began making improvements on it. I think things at some point will turn around to a degree but we may never hit those golden glory days again. Not sure where the bottom is...