credit: Burning Image
An interesting article over at Bigger Pockets recently drew a connection between the increasing cost of gas and the faltering housing economy. In short, it pointed out that as more and more of your money goes to the gas tank, you have less money to invest in real estate property (and to pay the mortgages on already-purchased homes). The author also noted that the cost of housing construction is on the rise as a direct result of the fact that building companies have to spend more money on gas when transporting materials and laborers to job sites.
The cost of gas isn’t likely to go down any time in the near future. In fact, it’s highly possible that it’s going to keep climbing. So this could mean that the eco-conscious individual may have a better chance of doing well in the changing real estate market than does the individual who insists on relying on gas as a primary tool of transportation. In other words, if you invest some money and energy now in finding ways to reduce your fuel consumption, you could be in a better position than your peers to invest in real estate property as time goes on.
To tackle your own finances, it might be wise to invest in alternative fuel options such as hybrid and electric vehicles. To tackle the rise of housing construction, it could be smart to start looking into partnering with green construction companies that are already starting to implement energy-saving and money-saving practices in their work. By making the changes now, you could start saving money so that you have something tangible to invest when everyone else is trying to figure out how to fill up their tanks at $5 per gallon.