Don’t wait to buy real estate. Buy real estate and wait. – Warren Buffet
There are many people that have waited to buy real estate, when they were capable and able to do so for many years. Perhaps it was the fear of a down turn in the market or just feeling like it was too great of a risk, but Mr. Buffet is not the first professional businessman and real estate mogul to make these types of remarks.
Generally speaking, unless you are in a really volatile market, real estate will appreciate overtime. While there is some risk perhaps over the short period, it is widely understood and practiced by tens of thousands of real estate investors to ‘buy and hold’ with the intentions of selling 5, 10, 15 or even more than 20 years down the road. Real estate values are a lot like a fine wine and get better over time.
Real estate is often considered one of the best investments you can make, and Warren Buffet would know this more than most. While you can receive great returns of about 5 or 6% with investments, if you are wise with real estate (and hire a great agent), you can receive returns of double that and sometimes well over 30%.
Fear is probably the biggest reason why some do not jump right in, but perhaps the advice that a wise man told me once may help:
Never respond to human fear.
Real estate investing (and that includes owning just one property – your home) does not have to be a wall. If it is for you, remember that with some help, you can climb over them!
What do you think?
Warren Edward Buffett (/ˈbʌfɪt/; born August 30, 1930) is an American business magnate, investor, speaker and philanthropist who serves as the chairman and CEO of Berkshire Hathaway. He is considered one of the most successful investors in the world and has a net worth of US$84 billion as of June 3, 2018, making him the third wealthiest person in the world.
Buffett was born in Omaha, Nebraska. He developed an interest in business and investing in his youth, eventually entering the Wharton School of the University of Pennsylvania in 1947 before transferring and graduating from University of Nebraska at the age of 19. He went on to graduate from Columbia Business School, where he molded his investment philosophy around the concept of value investing that was pioneered by Benjamin Graham. He attended New York Institute of Finance to focus his economics background and soon after began various business partnerships, including one with Graham. He created the Buffett Partnership after meeting Charlie Munger, and his firm eventually acquired a textile manufacturing firm called Berkshire Hathaway and assumed its name to create a diversified holding company.