You only benefit from the house price increases if you actually SELL.His other justification was that the real estate values in Washington were starting to rise at the time of the move, so he thought if he bought in early, he could sell at the peak of the cycle and come out with a pretty penny. He claimed that all his market research showed real estate was a bad investment in Texas, which could not have been further from the truth at the time. In terms of proportional increases in property value, he would have made off way better in northern Texas than in Washington, and it would have been cheaper to buy in at the start. While Washington property values have been going up consistently steady since he bought in there, in Texas there has been an unprecedented growth cycle over the past half-decade. And this is stuff that anyone could have seen at the time, not just economist. The Texas growth was directly linked to a large number of corporate headquarter relocations to the state, all stuff that was planned out and in the news years ahead of time.
The profits come from the EXIT, when you realise the increases in value.
If you sit on it forever, it's all fluff and talk.
If it's true the Renton house he's in now has increased in value by $100,000.
I would sell asap. Because there's a high chance that will go down in value. And 100k is nothing to scoff at.