'How we cashed in before the crash'

By Dave Fratello | January 20th, 2008
There's an interesting piece in the Sunday LAT by one of their reporters, who sold his Pasadena condo in 2005 and continues to rent while waiting for a housing market correction. Reporter Peter Hong says his condo had nearly tripled in value from the time he bought it and then sold it. Ka-ching!

The story (see "How we cashed in before the crash") also features another, somewhat more sophisticated, market timer – Pimco exec Mark Kiesel, who cashed out of his Newport Beach home after just 2 years (2004-2006) at a tidy 20% profit. Kiesel, however, doesn't suggest that others follow his lead:
"I wouldn't advise it at all," he said. "We were willing to sacrifice our living standards to make some money; not everyone should do that."
Meanwhile, Hong is still waiting, as the bubble's burst has, perhaps, just begun:
We do plan to buy again someday, on honest terms with a loan we can afford. We didn't expect to rent this long; our girl is 8, and we'd like to get into a house soon that she will truly feel is hers.
Well, that's the report from Pasadena and Newport. But this sort of thing doesn't happen in MB, does it?

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