Looks like we have a decent chance of the stock market correcting finally. Suspect the key question to ask is what is your view on 2010 ? Maybe it is a buying opportunity if you believe 2010 is going to be fine. If you think otherwise, the current downturn may just be a prelude to another gut wrenching ride. It is important to have a firm view these days because valuation no longer affords much protection.
In the local real estate scene, nothing has changed either. We went to see 7 houses today. They were packed. Maybe everyone is trying to find their dream home before Christmas.
I have finally worked out what is so tricky about the local property market. If you look at enough houses within a short time, you start to frame the valuation of each house relative to a recent comparable sales. You will then lose track of the fact that valuation is an absolute concept. It is like cooking a frog really.
Good luck to all.....
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