When Will the Credit Crunch End?

The bottom line is that nobody knows for sure when the credit crunch end is coming; the answer you get to this question, depends who you speak to and which literature you read, some people forecast that we will be in a recession for the next couple of years, others forecast, sunny times head, very soon.

Whatever happens in the economy, in the short term, I do believe that it will take a few years for house prices to get back pre-mid 2007 numbers.

I have already given my opinion, a number of times, on the topic of Should property investors still be buying properties at the moment? so I won?t repeat myself again here. However, I have noticed an increase in the advertising of some property courses and mentorship programs of late. The old mantra of, "Now is a great time to buy, you can pick up some great bargains and we will show you how," is doing the rounds again.

While I agree that there are currently some bargains to be had I would question the motives and strategies of some of these property educators. Some have suddenly increased their course promotions because their own portfolio is struggling and they see educating others, as a way to continue making money from property, to see them through their difficult patch.

While, I see nothing wrong with educating others and making money from it, providing the education is valuable (in fact I sell my own book UK Property Success so it would be hypocritical of me to take issue with selling books or courses etc to other property investors.) I do think that those starting out in property need to be aware that some of the strategies that have been taught over the last few years, simply don?t work long term and if they learn from people that are teaching these strategies, then in the long-term, they will struggle.

If you are still not sure when the credit crunch end is coming then you should understand some simple rules, the property investor purely interested in the fast buck may flourish at certain times in the property cycle. However, to continue long-term and to not go under, when the market gets tough, you need to understand the fundamentals that will give you a robust, long-term portfolio; then and only then will you be the successful property investor who thrives in times of economic instability and buys up the properties of the struggling investors, for knock down prices.

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