Many headlines and cable news programs are touting a pending real estate bubble. Sure this helps increase their ratings, but there are too many factors in favor of real estate to worry about the naysayers. All you have to do is look back to the early `90s. In the early part of the decade, prospects for [tag]real estate investments[/tag] were looking about as good as they are today. After [tag]Japanese investors[/tag] paid extravagant prices for Hawaiian hotels and Los Angeles office properties sent the real estate market climbing, the `80s real estate boom was topped off when a Japanese consortium purchased the iconic Pebble Beach golf course for $500 million.

The examples above are just a few of the national [tag]real estate[/tag] players. On the local level, I know there are thousands of individual investors and real estate speculators that have been piling up cash while waiting for housing prices to begin to fall. Once they start falling, these investors are going to have to outbid each other to get their hands on these depressed properties. One final point is that houses have utility value. That’s economic parlance for a tangible use. After all, you can live in a house. Other examples of items with utility value are a hammer (because it can hammer nails) and a washing machine (because it washes clothes). These items have value as tools to make your life easier.

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