Value derives from scarcity (Marshallian Cross).
In a typical market place, higher price, alone, dictates increased demand (Veblen Economics).
Aaa) If I were to offer a share of stock after the any great market crash (e.g. Great Depression), few buyers would step up.
Bbb) Previous to precious metals dramatic bull run this past decade, even today, a discrediting song about the Hunt's Bros. failed to attempt to corner the silver market, was all but adenominational chorus.
So, when we turn to the topic of real estate, in today's market, there are many cynics who have been scorched by such securitized transactions.
I omit discussion of bond tranches, securities derivatives and what the difference between marketable title and a good old squatter may or may not be HERE.
There are key regions to consider when investing in real estate. Given the state of today's real estate, I suggest that any reasonably solvent investor consider multi-state-border locations.
For example, here's Billoxi, Mississippi;
Within an hour, either way, you have New Orleans, LA or Mobile AL. These cities offer unique, wholly diverse hubs of cuisine, festivals and laws.
Louisiana is the root from which Las Vegas now hails as it was the first state to sanction "gambling." But cross into Mississippi, and you have to respect the flow of the Mississippi, only counties on said river, in addition to Native American Casinos, are permitted to have land based casinos. Alabama all but banishes the idea (with limited forms of exceptions). Of course, contact an attorney if you can't conceal fervent zeal to further "deal."
Another example is Page, Arizona. Although it remains a relatively quaint economic magnet, Page has proven to deliver. It is one of the many towns that harnessed the vast American water ways that provides our agricultural prowess, electricity generating genius, habitat richness and basic populace necessities.
But the following natural jewels are what attracts me:
Zion National Park
The Grand Canyon
If, as a hypo, you invest in Page, such unique and dramatic opportunities await to pursue.
The Take Away
If finances permit, investing in real estate at this juncture will prove sound (assuming at least a stress-less five-year window).
Next, possess and demonstrate the autonomy to be an "adult in full" (credit Tom Wolfe) and evaluate real estate with a myriad of avenues that diversely provide variety; in immediately close proximity.
Translation, don't let peer pressure close your vision into certain cities or counties named after fruit, or limit yourself to what you (have) know(n).
As an American, the Founders intended for us to enjoy not only these many privileges, but vast continental immunity to discover, enrich and unravel. Indeed, there is no other nation as closely bound to secured liberty, as the United States of America.