Reasons NOT to invest in Real Estate

From a good friend, Dolf deRoos says,

"As the holiday season rounds the corner and you think about all the money you’ve spent on gifts this year, the last thing on your mind is spending even MORE money on an investment property. (If you did find one now, however, maybe next year for the holidays you could buy that sporty little BMW you had your eye on - as a gift for your significant other, of course!).
There are plenty of reasons not to invest, and we've heard them all, from "it’s the holidays" to "I’ll never find the great deals Dolf finds." But these are not valid reasons; they are just excuses. Dolf’s colleague, John Baen has provided us with some excuses why people do not invest. Here are the top five:

5. My Rich Aunt Gertrude is bound to leave me something in her will.

4. I can cash in those Coca-Cola collector’s bottles when it’s time to retire.

3. I am going to marry rich, so why make my own money?

2. I am bound to win the lottery someday, as I play every week!

We are not saying that these things won't happen, but your chances are only about .005%. If you think you are part of the .005%, stop reading this email and please buy US a lottery ticket.

And the number one reason not to invest in real estate is:

1. The interest rates are rising and the bubble is going to burst

Now, even though you’ve been hearing about the rising interest rates and the cooling market, this is actually beneficial in many ways to real estate investors, as explained in our recent report "How to Bubble Proof your RE Investments". Rising interest rates are useful to you as an investor because rising interest rates go hand-in-hand with inflation and appreciation. In other words, it helps to raise the value of a property. The amount you owe on the property will stay the same but the value of the property will have risen, resulting in an increase in equity.

That's all for tonight - gotta go check under the bushes for some presents.

Smokey