The Motley Fool Discussion Boards
Investing/Strategies / Retirement Investing
|Subject: Re: Strategy comparison S&P500 vs. IUL||Date: 4/4/2013 6:51 PM|
|Author: JAFO31||Number: 71711 of 80267|
Dwdonhoff: "Hi JAFO"
<<<How does that property insurance policy protect anyone from a decline in the value of the house.>>>
"After a fire (absent the expense of subsequent rebuilding) your home will usually be worth less on the open market than prior to the fire."
Who said anything about a fire? You response is a nonresposnive to my question.
<<<There is are no equivalents to puts and calls for homes.>>>
"Sure there are, puts and calls can be written on any underlying asset. For individual real estate assets specific option contracts can (and are) written."
Maybe, if you are lucky, and at what price?
"Puts and calls [for securities] are generally written for one, two, three, or six months, although any period over 21 days is accepted by the New York Stock Exchange."
See also: http://www.cboe.com/ - Chicago Board Options Exchange
To what market do I go for a real estate put or call and what are the boilerplate contract terms for a real estate put or call?
I stand by my statement that there is no equivalent.
<<<And if you have to move across country and sell your house after the real market has turned down, how does the insurance policy hedge such