Tuesday, 28 August 2012

August 16, 2012


                Apparently most people follow market patterns when they invest money. If the market rises they usually start investing more money into it, and when it goes down, they usually invest less money. The problem with this is that they lose money because they usually sell at a price lower than what they originally bought it for. So, the smart thing to do would be to take advantage of when the market is doing very badly so that you can buy a lot more for very cheap. Later on, when the market is doing a lot better, you will be able to sell it for a lot more than what you bought it for and you will be able to make a profit. Unfortunately, because of this, a lot of people don’t get the maximum profit out of their investments. It would be wisest to just keep investing the same amount of money into a company each month. When you invest a lot of money when the market is doing well, then you are taking a big risk because it is very unlikely that you will be able to sell that later on for a lot more.

                Some people take advantage of the bad real estate market to buy lots of homes because then they can rent it out to people who will pretty much pay their mortgage and later on, after a few years, there’s a chance that the market will get better and they will be able to sell the house for a lot more.

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