[Cow Man]

As a retiree, all things considered, I don’t think I would build a house in the lakes region today unless it was on the water and preferably on a lot I currently own. The economy that we are in may continue for several more years, but it will eventually fade and the cost of acquiring a home will drop…unless it is on the water. So, if you build a waterfront home today likely you can sell it at a profit a decade from now when it’s time to move into the Happy Valley Home. On the other hand, if you build an off the water home while the real estate market is as hot as it is you may not live long enough to see any return.

Everybody’s situation is different, but a home is a different type of asset in that we hope it appreciates in value while we are using it. So, if you do have a bag of cash sitting in a money market account making 0.01% in interest or you have invested heavily in equities and are convinced its time to sell, then take that money and build your dream home, enjoy it for many years and if everything works out have more money when you sell the house then you would have had the market tanked.

March 19 Update - If you have any money left, now would be a good time to buy or build a home. Interest rates are as low as they've ever been, home prices are heading south and builders schedules are freeing up.