I’m also using the method you’re referring to, PS. All I’m saying is we can’t point out the exact bottom but if we keep an eye on things, we can fall w/in 5-10% of the bottom, hence my first few posts saying I’ll be happy to buy when I see price start rising in earnest. I also will be buying several rental properties when time is right, just like you. I think we both agree to the same thing, just stating things differently and misunderstanding each other. When rental properties once again have positive cash flow is when I will start considering buying rental properties. Best of luck to you and everyone else on here.
The reason I think 9/11 affected this cycle is if you look at the short term rates in 2001, it was in the high single digit range. After 9/11, the stock market start crashing hard. The Fed start lowering rates to the bottom of 1%. Because of this super low rate, I think that’s what spur the spike between 2002 and 2005. If rates stay in the high single digit where it was in 2001, I think we would be seeing it winding down in a “soft landing” like it did the last cycle.
