Originally Posted by redbrian
Ok you lost me here, the medium price of a new home dropped around 1% over the past year. And this caused you to sell a rental property.
What does the price of new housing have to do with rental property?
The only thing that would affect your investment in rental property is if the market is over built with your segment of rental space and the price is being pushed down.
If anything a bust in the new home market would cause more people to rent driving up the rental price and in turn your return on your investment.
Also even if your property value was to decline, you are not hurt as long as you are making a decent return on your investment.
Theres an old saying thats been around along time.
"Greed and Fear cause people to do dumb things with there money"
On January 3rd, 2007 the unemployment rate was 4.60% with a RECORD 52 months of JOBS growth and the GDP was 3.50%. January 3rd, 2007 is also the day Harry Reid and Nancy Pelosi took over the House and the US Senate.