The real estate market is not necessarily a bad thing. Of course, the solvency of the investment banks and even the general public is being questioned, but not everything is lost. In fact, the positive side is, oddly enough, real estate itself. The real estate is still worth something, though not to the hyper inflated values you may have been seeing some year ago and it is some good news for the investors. As a person with liquid assets, you can acquire many of the real properties without having to go through the much harder practice of getting a loan. Or, if you are able to get a loan, you are in a much better position. But apart from money, here is a fast race with the other benefits of investing in a real estate market.
First of all, the real estate has become a long-term investment. There are some not so smart people who go out there thinking they can go around in a down market and be very lucky. The real estate will recover and you will not reach the levels you made, but at least you will get a return on your investment. The old saying of the investment is that buy while the stock is low in price and wait with it until it grows in price and you have to do the same in this market.
Secondly, if you become a homeowner through the real estate investment, you will find that your money is coming back to you at a better rate than buying highly volatile stocks or bonds. The overall performance over a year will be around 6% or less which is much better than bank accounts or even certificates of deposit while the tenants are plentiful as well. In this market, people are losing their homes, they are turning to the homeowners to find a place to live while they recover and try to recoup the losses they have suffered. Many of these people have been trapped in the unfortunate mortgage crisis without taking any steps on their own. Others, even if they were in a house that they could not afford, are still the people who sold a bill of goods for mortgage lenders.
The down real estate market should be no obstacle to your investment in the market, especially if you are smart and do your homework beforehand. Choose the right location, the right tenants, and the house and you will be glad that you invested in the real estate sector during this period.