In 2005 I bought couple ounces of gold bars for around $750 an ounce.... Since then Gold went up 3 folds close to $2000..... Now it's heading to $1200 if not less ( $1341 AUD at the moment and bobbing ) The bubble has burst....
In 2005 My house price was close to 280K ... today it's 800K 3 folds if not more.... I enjoyed the windfall and felt richer with all that chinese money that was buying up the best properties in my street.... but I knew it was too good to be true.... just like gold.... one day things will happen you can't defy gravity as they say... what goes up comes down and what's steady is pulled down....
Why should my house triple in price when my children salaries only increased by 20% during that time??? They couldn't afford to buy my house... they'll have to wait to inherit it...
I still have the 2 ounces of gold and lost half of it's value, and I know house prices may crash one day but I really don't care.... Because the house I live in is my home not an investment property and the gold is something I wanted to have...
I care when I'm trading stock, investment property and other financial activities that's a business to make money.. So when it comes to Gold or your home .... love it but don't trade....
