Don't you love Motley Fool?
Nov. 8th, 2007 04:40 pmThese bad boys are making me money. And they are funny to boot :
From time to time, we all need to be reminded that asset prices can go down as well as up. Otherwise, we might do something stupid -- like, say, pay 516 times forward earnings for a share of Overstock.com (NYSE: OSTK). Or buy a $200,000 house for $300,000, finance it with a no-money-down subprime ARM mortgage at 2% with a six-month balloon payment, and then wonder why we can't afford the mortgage when the rate resets to 6% and our monthly payments suddenly triple.