Is it foolish to place your economic future at risk by purchasing an asset likely to fall in value? Yes.

Does that make you a fool? Only if you believe that poor judgment is an inherent character flaw, which, I believe, is not part of standard economic theory. Unfortunately, neither is emotion based decision making.

Much as I enjoy the insights economic theory offers on buying and selling behaviour, it is predicated on "rationality", not "real human beings processing information in multiple and conflicting domains (emotional, financial, physical, social)". Luckily we can boil all of that down to "irrational". Hooray! back to a model which reduces the variables to a manageable number!