So some people here forget that they may have lucked into their position and want to castrate those who got burned.
We bought our first house right after I got out of school. I used my VA loan with nearly no money down. I didn't have any but I use a benefit I earned for living on a black sewer pipe (submarine). Market took off over the time we owned the house and all the improvements I did were cash. Bigger deck, upgraded to granite steps instead of crappy wooden ones, landscaping, etc. No major upgrades but you get the idea. We sold that house for more than double what we paid for it. My improvements added curb appeal but not anywhere near double the price. Great planning? Nope. 100% luck on when we bought.
I changed jobs and we moved into another house in a big subdivision with nice homes. Market crashed and luckily we had put 75% down on the house and when we sold, we lost more money on it than I can bear to type but still had money to walk away with. We bailed early, luckily. Some of my neighbors in that subdivision are trapped as even with large chunks down they still are under water and the market dropped even further. Houses dropped about 40% in that subdivision. One job loss or need to move and they're sunk as they can't sell.
The guy in the article made some bad choices, no doubt. However, many people make good decisions and can still get hosed.
If anyone believes they are an ace with real estate and that bad things can't happen too you, guess again. One death of a spouse, debilitating injury, etc can squash even the most conservative person.
Find any true real estate investor and they will all share the nightmares, boom times or bust.
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