Courtesy of Jamesdeangallery.com
Read Part 1 Here.
But I smell hope. Few people have successfully crossed the path of the road less traveled. I remember reading an article in the Investors Business Daily. It talked about the 80 million people who lost 7 trillion dollars in the stock market crash of March of 2000. If 7 trillion dollars were lost. Where did all that money go? Maybe somehow, somewhere along the way a few people decided to go against the tide. The minority decided to doubt the stock market's seemingly never ending profits. A few figured something was up, they didn't really care what they felt about the market they just knew they had to sell. And sell they did- Reaping generational profits.
To relate it to real estate. Would it be possible to do the same in the real estate market?
I think it's worth a shot. But we need to consider some things:
1. We need to recognize that being different- 'a rebel with a cause' is easier said than done. You will rarely feel like James Dean, more of Peewee Herman. It is the Road Less Traveled after all.
Instead of forsaking our past; how we were brought up- the way we saw our own worlds. The better alternative is we need to be honest about our mistakes and our tendencies to repeat it (" that's half the battle"). And innovate our way of thinking based on more objective information- what the market is telling us.
2. We need to acknowledge that going-against-the-herd mentality
requires much more than bravado. I am appalled at how many people
misuse the wisdom of investing against the herd mentality for their own
gain. 'The most potent lies stem from potent truths'
"hey the market is down, this is the time to make money!" It's not as simple as they would want you to believe. I see it almost everyday being advertised. And I think it's baloney.
Just because some really good salesman tells you that using your current skillet can cause cancer, doesn't mean that you have to buy the $3,000 salad master set.
3. Balancing your instinct and what the market is telling you (based on wide ranging statistics).
Notice I didn't mention emotions. Following your heart I
realized is not such a great untouchable idea after all, often times
it can even break it. On the other hand I am also beginning to see
the power of our instincts. Especially the intuition of women. It's a
beautiful balance of numbers and feel.
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