Peter L. Mosca, commentator for the weekly radio show Income [tag-tec]Property Investment[/tag-tec] Talk, advocates real estate is still the very best long term investment.
We agree, of course.
He also brings out this very important piece of logic often overlooked by today’s pundits.
Real estate is the best hedge on inflation.
As Mosca reasons, do you honestly believe it will not cost more to build a house five years from now?
We all know the painful answer to that.
And what about inflation anyway?
How bad is it?
Been to the grocery store lately?
I don’t know about you, but paying out over $3.00 for a gallon of gas certainly fits my definition of inflation.
And so help me; the next brilliant economist, who compares gasoline to water, telling us we’re actually paying more for bottled water, will get an instant click-off from my remote control.
Yeah, it may be true, but drinking bottled water is a choice. Driving a car, at least where I live, is not.
Mosca also points out something else we’ve been talking about for a long time. You can’t lump all real estate into one big giant market. That’s not the nature of this beast. Real estate is local.