August 15, 2008
Real Estate Speculation: Don't Fall Into This Trap
When we become overwhelmed by uncertainty there are often two extreme behaviors which ensue:
- at one end of the spectrum we have complete inaction
- at the other end, is rash action without really knowing what we are doing, which we often call "jumping in"; or in the investing world, speculation.
In my previous post about risk reduction techniques we looked at various ideas to help reduce the risks that might be preventing you from taking action and doing your first deal. Following on from that, I thought we should address the other extreme since we want to find a happy median that allows measured but confident action.
While taking a leap of faith in some ways is admirable and often gets the desired result of creating momentum it can also mean financial suicide. One of my favorite sayings is "you cannot steer a parked car" so I would probably prefer to see people taking action rather than doing nothing but let's take a look at the differences between smart investing and just plain speculating.
The following are things you should do to ensure you don't find yourself in the dangerous territory of real estate speculation when making an effort to get started.
Full article… Real Estate Speculation: Don't Fall Into This Trap
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Filed under Getting Started, Strategy by Scott Roemermann
