The Lemmings are Crying Or Dying?

Greetings from Cedar Crest, NM

I have just returned from my Grand Canyon backpacking trip.  Wow….it was an amazing adventure.  I came back with bruised feet, sore muscles, and new friends.  I will hopefully have pictures for the next blog.

Anyway…to no surprise….more bad news from the real estate market.  Below are a few links to real estate articles including a link sent to me from my friend Matt Pitcher of The Live Oak Capital Group.  But before we get to the articles….the bad news gives an aroma of opportunity to experienced investors….right?

As my friend Grafton said "This is a bad time for the amateur investor no doubt."  It reminds me of the "dot com" craze a few years ago.  It seemed like everyone I knew was making money on internet stocks….so I decided to get an E-trade account and join the "easy-money" train.  I did not know anything about stocks so I just followed my friends…easy enough right?  Well, I lost a lot of money being a "lemming" that year.   What the heck is a lemming Rob?

Well….there is a term that is given to people that follow others in the hopes of riches….but fall on their face…."Lemming." A lemming in a rodent that has a suicide impulse (I hear this is a myth…but none the less).  Supposedly, lemmings follow each off a cliff to their death….hence….many people call amateur investors, whether real estate, stocks, etc….lemmings.  When I lost money in the stock market….I was a lemming…I was just a follower. 

Now….the experienced investors….or, I should say…wise investors make money in every type of market situation.  Wise investors make money in both good and bad markets.  In this down market…you will see the wise investors licking their chops and the amateurs whine and complain.

When you hear someone say…."The real estate market is risky…" or "The stock market is risky…."  Just remember you are listening to amateurs.  I remember listening to a well known real estate guru explain to an audience how stupid it was to invest in stocks….well….that "guru" is an amateur when it comes to stocks….

Again….this is a great time to be liquid!  Like my economics professor in school once said…."you can complicate anything so remember to keep it simple….buy low…sell high."

My next blog I will give you some tips on how to go from "amateur" status to wise investor status…..

Until next time……rob

The links……

1) Forecast: Slow economy and a Democratic White House
2) Shopping Center Vacancies on the Rise; More Fallout Expected
3) Land on Shaky Ground  
4) CRE Facing Worst Year Since Early 1990s
5) All of a sudden, it just fell off a cliff

• Internet Marketer : How To Make Real Money Online Without A Website?
• How to Get Out of Trouble in the Real Estate Market
• Investing in Canada's Real Estate Market