Quote:
Originally Posted by Slava
That is just because of borrowed money though. You could borrow a bunch of money and have the same impact with a lot of other investments actually.
I don't know what prices are going to do over the next short while...maybe drop by 5-10%, but maybe just stay pretty flat. Interest rates aren't exactly rocketing up here, and mortgage rates are pretty flat. Last I saw mortgage rates were dropping...sure that won't last forever, but its not a time to panic one way or the other either.
|
You can also diversify better with other investments (You can't own a garage in Vancouver, a living room in Toronto and a kitchen in Calgary) and keep a level of liquidity unmatched by real estate.