Warren Buffett Has Spoken!

I was reading the Opinion Page of The New York Times today and came across an opinion entitled Buy American. I Am and low and behold it was penned by none other than Warren Buffett. Clearly Mr. Buffett was referencing the purchase of stocks, given the condition of the economy and the rock bottom prices on shares.

The most salient point for me was; A simple rule dictates my buying: Be fearful when others are greedy, and be greedy when others are fearful. And most certainly, fear is now widespread, gripping even seasoned investors. To be sure, investors are right to be wary of highly leveraged entities or businesses in weak competitive positions. But fears regarding the long-term prosperity of the nation's many sound companies make no sense. These businesses will indeed suffer earnings hiccups, as they always have. But most major companies will be setting new profit records 5, 10 and 20 years from now.

I am reminded of the "good old days",when all you had to do was place a property on the market and watch the feeding frenzy. Those days are gone and from an investors vantage point that was not the time to buy. With multiple offers escalating the final purchase price, the buyer had anything but a good deal. How different it is today. With relatively low interest rates (single digits still) and unbelievably low price points, those looking to cash in on the real estate market need to be buying in America now. Europeans, Asians and South Americans are now buying American real estate in large quantities, why aren't Americans taking advantage of the opportunities. Invariably values will rise and those holding real estate will realize handsome profits.The question is will you be one of them? Will you be amongst the ranks of those like Mr. Buffett, who know a good deal when they see it?