Why do you / would you invest in real estate? Theres other options but i want to hear your opinions.

The US real estate market is a much more risky area of investment these days - there are profits to be made in some areas, but as a general trend it seems that people have been blindly pushing money into real estate simply because it was there, and now there are mini-bubbles bursting across the US.

I agree with Brian. It is a dangerous play in the United States. Real Estate prices are currently very volatile. On the other hand, however, you can't lose your entire investment in real estate. you always hold a physical property, rather than an abstract "share" of a company.

Real Estate is the only thing they can't make more of. It's almost guranteed to appreciate over the long run.

Real Estate will always be around and as daytrader said more of it can't be made...unless you build your own islands like in Dubai but the price will rise due to demand and supply...simple

As long as you do the proper research and educate yourself on how to buy real estate, real estate is the one investment that is really tangible and in the long run safer than other investments. It's all about education no matter what you invest in. But everything has a cycle and real estate is going through its right now. You don't buy at the high just like any other investment. You must evaluate risk and forego the greed and emotion. This is the number one problem we had and why there were bubbles in different parts of the nation. IT's all regional too not nationally. Not every real estate market is going down, despite what you read. The longer you've been an investor, the more you understand the value of real estate.

What created the bubble were the flippers, just like day trading in the late 1990's until that market fell. We will always have those flippers as well as we still have the day traders but not every person and their mother will be one now because they were stupid and got hurt due to their greed. It's all about education. These manic situations happen in stages, it's the late guys who came to the party who I mean that got hurt. The other ones already made their money and are waiting for things to settle before they buy again. Like I said, it's no different than any other investment when it comes to human nature.

hi there hello

Historically Real Estate has been good but we will always have peaks and valleys. When I buy a property I look to hold it for more than two years and do a lease or lease/option and now I become a landlord which some people hate doing this. If you can connect all the dots to this point then you can realize a profit from Real Estate considering taxation, appreciation and cash flow.

It was said above that you can never lose all your investment which is not true. Most properties are not paid for with cash, they generally carry a mortgage. You are investing in a leveraged position which allows for greater profit, but can also attract greater loss if the market goes soft, or you overpaid when you purchased. Allways buy on the assumption that you will not be able to sell immediatly. The property must be able to generate positive cash flow or you could be looking at a long bleeding loss. Sometimes unexpected repairs are needed, or planned upgrades go over budget and wipe out both profits and reserve cash you may have. Get to know the market conditions in your area before investing. Look for deals where the seller is motivated to sell (Avoiding BK, Forclosure, Job Transfer, etc.) Making a profit is more likely on the purchase, than on the sale. Also, be very aware of what improvements will add value, vs. those which only improve looks.

When investing in real estate unless it's your Home I've found it always best to buy something that actually pays for itself such as rental property.