The Campbell Real Estate Timing Letter
The only timing advisory for San Diego real estate investors

Why People Win or Lose in San Diego Real Estate

Do YOU know when its smart to sell . . . and take profits?

The biggest secret for winning in San Diego real estate – or the stock market for that matter – is to ride an up-trend for as long as possible . . . and then sell when the trend changes.

 The art of knowing when to exit the market – however – is a skill only a small percentage of San Diego investors ever master. 

 The following story is told by Fred Kelly, author of Why You Win or Lose, and provides the best example of how the typical San Diego real estate investor procrastinates when it comes to making a profitable selling decision. 

 A man has rigged up a turkey trap with a trail of corn leading into a big box with a hinged door.  The man holds a long piece of twine, connected to the door, that he can use to pull the door shut once enough turkeys have wandered into the box.

 However, there’s a slight catch.  Once the man shuts the door, he can’t open it again without going back to the box, which would scare away any turkeys lurking on the outside.

  One day, he had a dozen turkeys in his box.  Then one walked out, leaving eleven.  “I should have pulled the string when there were twelve inside,” he thought, “but maybe if I wait, he will walk back in.”

 While the man was waiting for the twelfth turkey to return, two more turkeys walked out.  “I should have been satisfied with eleven,” he thought.  “If just one of them walks back in, I will pull the string.”

 While he was waiting, three more turkeys walked out.  Eventually, they all walked out and he was left empty-handed. 

 His problem was he couldn’t give up the idea that some of the original turkeys would return.  This is the attitude of the typical  investor who can’t make a decision to sell . . . even at a profit.  He keeps expecting the price to recover . . . to return to its original peak.

 The moral of this story comes from an old saying on Wall Street:  “Bulls make money, bears make money, but pigs get slaughtered.”  In other words, don’t be greedy.  Take what the market gives you.  Learn when to sell and take profits.

 How can San Diego real estate investors overcome the mistake of riding the market down and watching their profits slip away?   

The surest way to do this is to subscribe to The Campbell Real Estate Timing Letter.  Robert Campbell's five key Vital Sign indicators tell you to “sell” when market prices have likely reached their peak for the current market cycle . . . allowing you to hold on to all of your turkeys.  

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