The American dream has not changed, although, many are on the fence about whether owning a home is worth the expense and hassle, especially in markets such as Los Angeles, where owning is expensive relative to renting. The end goal has become more of a challenge, but that does not make it less desirable. Instead, we must adapt our strategies to overcome the challenges our new economy presents us with and seek opportunities. For others, purchasing a home is financially doable, but exploring your options is worth the time.
The housing market has run away from many seeking home ownership, wealth distribution has not been favorable to the middle class, and everything about the modern economy is telling us this is not your mom and dad’s economy any longer.
Where do you go from here?
There are many great real estate investment opportunities available in small to large deal sizes appropriate for almost anyone. If investing in real estate sounds like it may be too much to handle, there are methods to shift risk, such as through partnerships. The goal is to receive cash flow every month, build equity/wealth through principal reduction and the appreciation of your asset, and improve your financial position to do what you wish, even purchase a home.
Whether you are a fan of Kiyosaki or not, he does a good job of explaining the difference between assets and liabilities.