I am from Northern California, land of boom and bust. I know people who paid $900k for a home only to be forced to sell it for $400K and see that same house sell again for over a million. The key (or a key) I think is to make sure you are not in a position to be forced to do anything, and you need to have the balls to watch your paper wealth go up in smoke. 2008 was a great example. There are still people who are terrified of the stock market and have what little they have left sitting in a .5% saving account.
All that said, TV is starting to look interesting. We are sitting on a paper gain that way outstrips the rest of Florida as far as I can tell. If our $400k house will sell in a day for $900k, and I can buy a $600K house that's bigger/better anywhere else in Fl (maybe not next to mar-a-lago), why don't I? The only reason is the amenities, but (this is just my personal feeling) they are starting to look a bit worn out to me.
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