2007-03-22 03:12:51 · 2 answers · asked by Anonymous in Business & Finance ➔ Other - Business & Finance
It is an asset that requires you to keep putting more money into it for it to maintain its value.
Some people refer to a house as a money trap. You have to keep it up and spend money on it or else the value will decrease and when you sell it you won't get your money out of it. If you do keep it up and sell it, there is a very good chance you will make money on the transaction.
So basically, you are trapped into investing more moeny into something so you can get your money out of it.
2007-03-22 03:23:23 · answer #1 · answered by Fordman 7 · 0⤊ 0⤋
A situation where you end up having to put more and more money into something and not see any profitable results. Watch "The Money Pit" with Tom Hanks. Funny movie in itself but it will get the point across.
2007-03-22 10:22:15 · answer #2 · answered by elyjs 2 · 0⤊ 0⤋