Great Home Buying Book


I don't get fired up about books all that often but I just read The Automatic Millionaire Homeowner: A Powerful Plan to Finish Rich in Real Estate by David Bach.


WOW! This book was very powerful and a quick read - you can easily read it in a weekend. It's filled with easy to follow real world examples of the ease of buying a home.


Some of the tips I found useful:
- it's not market timing, it's time in the market -- don't think about flipping a home by buying and selling in a short time. This strategy is about staying the course and keeping a home for at least five years
$172K and $5K - the average net worth of a home-owner and of a renter in 2003
$540,000 - the amount of rent paid at $1500 monthly over 30 years
==>$0 - the amount of return on that investment

333% - the return on investment for a $200K home with $6K down and sold at $220K

0 - The number of years of declining national home values from 1997-2005
12 - The number of years of decline for the S&P 500 over the same period
17 - The number of years of declining values for T-bonds over the same period
==> Homeownership is one of the best if not the best long-term investment!

These are just some of the nuggets I pulled from the book. If you are thinking about a home purchase or thinking about investing in real estate, I strongly recommend this book-two thumbs WAY up!

Your first step - talk with a lender to find out what you qualify for.
Second step - interview Realtors to find one who will work hard for you.