Whatever we do, it's a gamble, but the most important rules seem to be:
Never buy anything you can't hold onto for at least ten years and Never buy
a property you don't really like or can't really afford.

Yes, I agree, infact I thought the exact same thing bout the real
estate bubble. This is how I look at it, let me know what you guys
think.

1. My lease on my appartment is up soon, I pay 920 a month + utils
2. Upon the end of my lease the will surley raise my rent tho who
knows how much.
3. The home I'm purcahsing is 185,000, and payments will be around
1220 high estimate. (total, piti)

So I need a place to live, at the end of the day, the cost monthly
will be very close (as the new apartments here in 92562 go for
1300-1500 for a 2 bedroom). For the slight increase, I get more
privacy, my own land, garage, quiet neighboorhood. I make plenty of
money to maintain those kind of costs even if I were to loose my job.
And, not to mention I am getting railed on my taxes every year with no
write offs. I guess the bottom line is, this cost of living has risen
so much here that at the minimum I will paying in to the same price
range of purchasing a house, with none of the benifits.

Now on the down side, the prices are on the high side, although I am
not buying more than I can afford. There is a fear of prices dropping
and me being stuck with a house thats worth less than I owe on it. For
this problem, I could turn to renting the house out until prices rise
(or maybe longer who knows?).

Are there any problems with my logic?, I do like the house, I do need
a place to live, I can afford it, worse case hopefully I can rent it
out while I buy more properties. I do not plan on living there for 10
years however, I am 22 I am hoping to be on to bigger and better
things with in the next 10 years

Please comment

Thanks