Is it though? Depending on interest rate on the real estate vs investing it seems the math is self evident. Value increase does need to be considered in the equation. Peace of mind as well.
It was a clarifying question unworthy of the curt responses. [Reply]
Originally Posted by RubberSponge:
NAIL is sitting at 89. Almost back to it's pre covid numbers as I expected. Hoping you pulled the trigger this time.
Nope! Took the advice of someone here and sold for another quick profit.
If I would've just followed my first mind and did what I was going to do in the first place, I'd have about $150k gains since COVID. Now I may actually be under instead
Looks like it's gonna be another shitty day. It's great how on green days my shit goes up between .5 -3.5% but on red days everything drops 3.5% minimum. [Reply]
Originally Posted by MTG#10:
Looks like it's gonna be another shitty day. It's great how on green days my shit goes up between .5 -3.5% but on red days everything drops 3.5% minimum.
Growth stocks are continuing to take a pounding. [Reply]
Originally Posted by eDave:
Is it though? Depending on interest rate on the real estate vs investing it seems the math is self evident. Value increase does need to be considered in the equation. Peace of mind as well.
It was a clarifying question unworthy of the curt responses.
Paying off a loan early is a risk free return on the interest rate. [Reply]
Originally Posted by Hog's Gone Fishin:
Me also. I put a stop loss this morning after it went up and sold at 28.10 and then bought back in at 27.50. sitting on 900 shares. Also along the same theme BBKCF has been killing it too. They're the only damn things keeping me green.
Thanks for the call on BBKCF. I picked some of that up this morning and she's done me well today. [Reply]
Originally Posted by DaKCMan AP:
Paying off a loan early is a risk free return on the interest rate.
A friend of mine is considering buying a house. He's got enough money to pay cash for it, but he's considering getting a loan because he thinks he can earn more money investing the cash than he'll pay in interest on the loan.
I completely understand his logic, and with interest rates so low it seems like this is an environment where that's quite possible. But I still don't like it. I hate paying interest to anybody, and the investment returns aren't guaranteed while the mortgage costs are.
This guy's pretty savvy so I suspect he'll do fine. And he's affluent enough that it won't really change his lifestyle even if the investing tanks. But psychologically I wouldn't do it. I'd rather get a lower return at lower risk.
The one thing that I might think about, though, would be something that's really low risk like an annuity. If I could put $X in an annuity at a 3.5 percent return and then get a mortgage for that same amount at 2.7 percent, then I guess I'd do it. But I'd still feel weird about it. I really like being debt free. [Reply]
Originally Posted by Rain Man:
A friend of mine is considering buying a house. He's got enough money to pay cash for it, but he's considering getting a loan because he thinks he can earn more money investing the cash than he'll pay in interest on the loan.
I completely understand his logic, and with interest rates so low it seems like this is an environment where that's quite possible. But I still don't like it. I hate paying interest to anybody, and the investment returns aren't guaranteed while the mortgage costs are.
This guy's pretty savvy so I suspect he'll do fine. And he's affluent enough that it won't really change his lifestyle even if the investing tanks. But psychologically I wouldn't do it. I'd rather get a lower return at lower risk.
The one thing that I might think about, though, would be something that's really low risk like an annuity. If I could put $X in an annuity at a 3.5 percent return and then get a mortgage for that same amount at 2.7 percent, then I guess I'd do it. But I'd still feel weird about it. I really like being debt free.
