Q: A friend of mine advised me not to invest in real estate. He thinks real estate prices will be depressed for many, many years. The stock market scares me and I don't understand it. In the past, I've bought and sold several houses and know how to fix them up. Is investing in real estate a good thing?
A: I mean no disrespect to your friend, but I wouldn't place much value on his opinion unless he's been involved in and has expertise with the real estate market and economy in general. The other problem that I have with his opinion is that he is forecasting what he believes will happen with real estate prices many years into the future.