I want to start a thread series to discuss some questions that seem to paralyze so many First Time Home Buyers from making the move into their first home.
1. Is a home really a good investment? What if I buy and the economy collapses?
Unlike the volatility of the stock market, real estate is typically much slower to react to a current economic situation, and does not react as radically overall. Also, housing is primarily purchased for shelter. Many people hold their homes during a bad economic period, and then sell when the market improves. Unlike other investments, there is not typically "panic selling" of family residences. Lastly, real estate in the US has traditionally trended upward. Real estate held over time generally produces equity.
Please share your experience on this matter, whether you have only purchased one home, or are a seasoned real estate investor.
