GoFuckYourself.com - Adult Webmaster Forum - View Single Post - What's your home worth now vs. when you bought it? + semi-political rant

jtpornstar · 10-13-2008, 01:25 AM

You bought your house to be a "home" ie somewhere to live and enjoy. Treat it as such. It's $ value will rise and fall and rise and fall over time. But this is of no significance to you, as it's your "home".
Now if you bought it as a commodity, then likewise, treat it as such. When investing it's nice to get around a 10% return on a commodity. So in housing, that'll be represented by it's rental $ possibility. To put it simply, if you could rent it for $1000 per month, then its value is really around $150,000. So if you want some idea of how far it needs to fall, then check out the rents in your area.
I'm in Spain, where the property market is in free fall (companies offering 2 for 1 ie buy 1 get another thrown in for free)...but still the market has a long way to go....down. There is an overhang of almost 2 million properties (ie empty) and until these are sold....
Personally, I think property should be worth a little more than it cost to construct, but that's another story.

10-13-2008, 01:25 AM
jtpornstar Confirmed User Industry Role: Join Date: Jul 2003 Location: In your mother's fears Posts: 122	You bought your house to be a "home" ie somewhere to live and enjoy. Treat it as such. It's $ value will rise and fall and rise and fall over time. But this is of no significance to you, as it's your "home". Now if you bought it as a commodity, then likewise, treat it as such. When investing it's nice to get around a 10% return on a commodity. So in housing, that'll be represented by it's rental $ possibility. To put it simply, if you could rent it for $1000 per month, then its value is really around $150,000. So if you want some idea of how far it needs to fall, then check out the rents in your area. I'm in Spain, where the property market is in free fall (companies offering 2 for 1 ie buy 1 get another thrown in for free)...but still the market has a long way to go....down. There is an overhang of almost 2 million properties (ie empty) and until these are sold.... Personally, I think property should be worth a little more than it cost to construct, but that's another story.