Re: Real Estate Market Timing
Arturius,
The interest tax deduction is a factor, but remember its been around a long while, and its probably declining in value due to AMT affecting more filers. But when you do a buy vs rent analysis for your self, you need to est. it.
One more Buffett reference. He's always said that most people benefit more from declining stock markets than rising ones. Its because most people are net savers, and a declining market gets them more value (earnings and assets) for each dollar invested.
I was thinking yesterday the same relationship applies to RE. I want a bigger house, so another five years of price declines benefits me. I will lose when I sell my house but I will gain more value getting a discount on a bigger more expensive house.
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