Weekend Millionaires Mike Summey & Roger Dawson's online chat about this: http://www.weekendmillionaire.com/2008/09/09/chat-transcript-september-8-2008/
All these talks about the foreclosure crisis in the U.S. A lot of people are freaking out and saying to stay out of real estate. But all the experienced investors I know are buying up as many as they can. Some investors say it's the best time to buy in 50 years, since the depression or since ever!
I read on CNN Money.com that only 5% of all mortgages in the U.S. are in default. The media made it sound like more than 50% are in default.
So I say, I am so lucky to have the knowledge and experience I have right now, to be ready for this opportunity. I am trying to buy as many as I can because when I buy I make money. Even if the price never go up again, I still make money every month from my investments.
The banks that were in trouble have already made their money when they originated the loan and then sold the loans. Fannie Mae who bought the loans raised money from selling securities to foreign investors. The government now will use the taxpayer's money to bail out Fannie Mae and Freddie. All those people or entities that got us into this mess in the first place have already gone away with the money. Yes, I agree they should have tighter regulations so it won't happen again.
These are just my personal opinion.
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