karchad

Not Yet Time to Buy Homebuilders

I so disagree. If you are a long-term investor, how can you NOT buy a sector that is down 75-90%????? Sure, wait, wait till you hear good news. Wait till the sector is up 50%. Don't believe me? ITB fell to about 13.3 in January. Now it's in a trading range between 17 and 20. So, already you've missed as much as 50% of the gain. Not yet time? As a long-term investor, now is precisely the time. Did I catch the exact low? Of course not. I bought at 16. Will you catch a bottom with that advice to wait.? Not even close. If you wait till everyone is buying homes, you are way way way too late. It's opinions like the above that cause investors to alway buy high, and sell low in panic. After 40 years of investing, I've learned my lesson.