Real estate risk through housing bubble Get More Information Here >>> http://personalrealestateinvestormag.com/wp-content/uploads/2013/03/Dean_Graziosi.pdf

1. Real estate risk through housing bubble
An economic bubble is considered to be the accelerated value growth of different types
of assets, such as stocks, art, gold or real estate properties, with a sudden and big value
fall. It occurs periodically in in most global markets, the real estate market being the
most affected. Practically, the value of properties increases so much that they reach
unsustainable levels (either in maintenance, taxes or mortgages) and the rapid decline.
The most recent real estate bubble started at the beginning of the year 2000, when
prices started to grow rapidly, and at a high rate, until 2007 global market collapse that
has been lasting until 2012. In history, there has been an occurrence of real estate
bubbles on average every 13 years that lasted through a time period of approximately
2.5 to 3 years, the last one having an extended period of 5 years and it is still slowly
recovering.
Making new acquisitions or taking loans and mortgage loans to rehabilitate housing
facilities can be risky during housing bubbles due to the market’s instability and
recovery process. Dean Graziosi’s predictions and adaptability have impaired individuals
or companies to do a better research on real estate opportunities during the last 2007
housing bubble. He considers the fear of taking risks and involvement as being your own
wall between you and your opportunity, whether it is for personal of resell purposes.
One of the greatest opportunities during the last housing bubble has been the 2009 first
time homebuyer tax credit. And estimated of more than 350,000 sales have been made
through this program ensuring a constant market flow that has determined a request to
extend this program through the next years.

2. Real estate investments are a great opportunity for people who have the means to start
a business in this domain, with or without requesting loans. Property prices are low, as
well as interest rates on loans and many real estate investors have profited from this
situation to invest in buying properties, rehabilitate them at low costs and rent them
during this recession, and sell them afterwards when the market prices can create a
valuable profit. There is still another category of property owners who prefer selling at a
lower price and gain income rather than having a valuable property without rental
possibilities.
Two important things that have to be considered in real estate investments are time
and budget. It takes a large amount of time to invest in proper administration of a real
estate business. The most time-consuming and effort-consuming are market and
increasing the value strategies. You don’t want to invest time in something that doesn’t
have a profitable outcome. Looking for high potential properties that can be
rehabilitated to produce income through renting or selling is not easy. You must have
access to faster data, announcements and market insight.
Money is also a key factor in real estate investment. Having a sufficient amount to
buy/place a down payment for a loan and then rehabilitate that house in order to sell it
at a higher price when the market recovers is key in starting and successfully developing
your real estate business. Also, you must always keep a cash reserve, in order to avoid
investment loss. The latest recession has taught everyone the value of cash and the risk
of being real-estate rich, so keep these things in mind when you are planning to invest in
real estate!
Get More Information Here >>>
http://personalrealestateinvestormag.com/wp-
content/uploads/2013/03/Dean_Graziosi.pdf