I’ve been an annoying Cassandra, just ask my friends, about the current real estate mess. Way back in the late 1990s I kept telling my friends to wait before buying a house because most had missed the last low point (especially here in Los Angeles) which was the mid-1990s up until 1996 when it started to turn around.
I knew this not because of the coming lending debacle, but because of the North Node.
Years ago, I found a book on the dictates of the real estate market according to the Moon’s North Node (the moon rules real estate.) This book had empirical evidence: the last two hundreds years of ups and downs in the market. It was clear, when the North Node was or is in Cancer, people go crazy for houses, and the value of real estate skyrockets. When the North Node is in its opposite sign Capricorn, nobody wants to buy! People think of real estate as a liability.
Now of course both perspectives are true depending on your situation. But if you buy when the North Node is in Capricorn, going against your own inner compass, telling you to stay away from the housing market, that’s when you actually will make money.
The thing is, this real estate drop is only just beginning. It really bottoms out in 2009/2010. We haven’t seen the worst of it yet. If you can stay in your home for another six or so years after that, then sell! SELL! SELL! and get your money back, buy something smaller within your means or rent for another six years, and buy when the market crashes again.
The North Node goes in approximately 12 year cycles. And so far in my lifetime I have seen this to be absolutely accurate. So far, I was right about the beginning of the bottom being 2008 as the North Node approaches Capricorn.
For those of you who want to find something to invest in, in a few years. Invest at that time in real estate. I’d say you’ll start to see it turn around where people feel comfortable again around 2011 and if you’re still scared wait until then and rebuild whatever you lost during this time. It will be a great opportunity. Buy an extra piece of property and sit on it for 6 years and you will see your money quadruple or triple or at least double.
But not now! If you buy real estate now you will have to weight about 8 years and you will end up paying more for a property then it will end up being worth in a few years so, hold off.
That’s my advice for anyone interested.
Best wishes and good luck.