Tran Harry

Desire for Safety Has Made the Financial World Risky

This is a good article, it is a shame that the investors didn't want to take the appropriate risks at the time because what ended up happening was they were actually taking on pretty risky investments in the mortgage industry.

I never understood how a home was seen as an asset, more like a liability. Cars, office equipment, and every consumable product we buy depreciates, but homes were always seen as an appreciating asset. Cars get used and lose value, homes get used and lose value as well, a home doesn't get any younger from the day it was built it gets old, it needs nurture and care and so the risk was always there that homes would devalue one day.