Question details

BUSN380 Week 5 Threaded Discussion – Insurance Obligations & Subsistence Spending 2
$ 15.00

While browsing the web I came upon a very cynical blog by a retired member of the Air Force about the risks of purchasing a home as a military buyer. The piece is pretty pessimistic and very cynical, but factual and worth heeding. Lt Col Ostrom claims:

“Unless you are going to keep a house for decades, buying a home for a few years is like betting the farm at the Kentucky Derby. If you buy a home, you better have a back-up plan in case it costs you a bundle to get out of the house when the time comes. No one knows what your home market will be when it comes time to sell. Even setting aside the housing slump, that’s the way it’s always been.”

“There is a misconception that real estate always goes up. See how well that goes over with any member currently trying to sell a home worth less than their mortgage debt. Home markets vary based on cities and regions of the country; I’ve talked to folks $100,000 underwater. Buyers all count on making a profit; no one figures to lose on the deal. Profit 100-percen of the time — how realistic is that? It isn’t. “

 

Available solutions