Real estate is sold as a much safer investment than the constantly fluctuating stock market. Share price volatility is compared unfavourably with the steadier and impressive gains made from real estate which is, we are told, 'as safe as houses'. As millions of Americans - and countless others in the Western world - have recently found to their cost, house prices can also suddenly and dramatically drop. Yet no other text on real estate, either current or from the past, mentions this fact, reinforcing the perception that real estate is an almost risk-free investment. Now for the first time, and long overdue, a book that details and explains the cyclical nature of real estate. The latest real estate downturn in the USA (and in other countries) is just one of many that have occurred since 1800 with astonishing regularity. This book is the story of the American experience of those downturns: the move out of recession, how the banking system facilitates that move, the boom and the characters that shaped it, the bust and accompanying bank failures, and then the recession, or worse, depression.
This is always followed by a new cycle repeating each phase again, varied only by the new ways bankers find to avoid the regulations put in place after each collapse to ensure it will never happen again. The Secret Life of Real Estate and Banking explains, quite simply, how the real estate cycle originates, offers a fascinating study of US history to illustrate the stages through which each cycle passes, then explains why this cycle of boom and bust must repeat, given present economic conditions. Real estate can only be a truly winning investment if you know the cycle. For investors, the author has designed an 18-year Real Estate Clock which plots the progress of the cycle, with tell-tale signs so that investors can recognise exactly where they are in the cycle at any point in time and so help them decide whether to invest, sit tight or sell. He has refined this clock over a period of many years and those who have attended his courses have found it an invaluable and remarkably accurate guide for their investment strategies, not only in real estate.
With its invaluable insights and practical guidance, The Secret Life of Real Estate and Banking is a book for both novice and experienced investors alike who want to know why the real estate cycle moves as it does, learn how this movement can be forecast well in advance, and more importantly, wish to learn how to profit from this knowledge. A must read for any serious investor.
Publisher: Shepheard-Walwyn (Publishers) Ltd
Number of pages: 464
Weight: 953 g
Dimensions: 234 x 156 x 39 mm
If you think economics is boring, you haven't met the real pirates of the Caribbean yet. Phil Anderson's recently published book The Secret Life of Real Estate and Banking is both exciting and timely. It provides detailed insight on how the addiction to land speculation became the foundation of the United States of America. Prosper Australia 'The author discovers that the real estate cycle repeats itself approximately every 18 years. In addition, he tells the reader the warning signs and trends that precede the various "hours" on his real estate clock. In summary, if the author's research is reliable then we can utilise the "clock" to know when to buy and sell real estate in the future.' -- Brian Cordiner Australian Investment Association 'Required Reading for Property Investors. A superbly written, logically structured study of the property market. His ideas are clear, the writing crisp and the book free from philosophical dogma. His analysis of property market booms and busts over the last 210 years shows how we fall into the same traps over and over again - a stunning historical perspective with which to immunise yourself from political and economic commentators who clearly fail to grasp the real reasons for the mess we are in. Overall a fantastic book and well worth the price.' Reader, Amazon 'China's privatisation of its real estate market guarantees [another] real estate cycle' Singapore Business Times 'This is an exciting, important and timely work; it will sell well. Anderson has ferreted out and marshaled dozens of sources on the 18-year cycle of boom and bust in real estate, its history, its mechanics, and its dynamics. Some sources are old and neglected; some are current and neglected; but after Anderson it will be hard for macro-economists to continue neglecting them. He melds the dramatic skills of a raconteur with the industry of a scholar and the discipline of a field marshal, to keep readers wide awake while they follow and most likely accept Anderson's take on economic history.' -- Prof. Mason Gaffney, University of California