The Unique Property
Is Real Estate the Way Forward?
The writers of tip-sheets are busy warning
of a mega crash to come. The message is that the next crash
will be the-crash-of-everything. But it isn't here yet.
It never is until it comes, and then everybody's surprised.
Yes, it's coming, but anyone who is prepared to say when,
obviusly has a crystal ball. They rest of us dont.
But will it be the crash of everything?
There are several lines of thought on this one. The front
runner is Gold, mainly as a hedge.
Then there are those who favour Bitcoin. I prefer Bitcoin
because it is usable as a form of money whereas, unless you
buy gold coins, you cant use gold for transactions. However, I
did say gold was a hedge. You dont hold it instead of money.
There are those who claim that bitcoin is no use as money
because it has no other use, which in my opinion misses the
point entirely. The pound in your pocket has no use. It's just
a bit of paper with fancy writing on it. We use it for money
because everyone accepts it. The fact that it has no other use
is its strong point. It's just a form of equals sign. This =
£5. That thing over there = £10.
Once you try using useful things as money the whole system of
finance breaks down. You are reduced to barter, and that will
not work in a modern, highly complex economy.
The other supposed safe haven is land. True, but there is a
If you hold land, hang on to it. If you dont, now is not the
time to buy.
We have a society (indeed, a world) that is in financial crash
mode. Businesses are going bust at an exponential rate. People
on lockdown are not exactly making a lot of money. In short,
money is tight, and borrowing is going to be a tricky business
going forward. That will put the breaks on house prices.
The time to buy will be when things have hit bottom. We are
nowhere near that yet. We need a crash in housing first.
And dont ask me when that will be. But I can wait.