Best Investment (by JB [OR]) Mar 15, 2019 10:14 PM
Best Investment (by DJ [VA]) Mar 16, 2019 4:58 AM
Best Investment (by myob [GA]) Mar 16, 2019 5:29 AM
Best Investment (by WMH [NC]) Mar 16, 2019 6:19 AM
Best Investment (by Roy [AL]) Mar 16, 2019 6:35 AM
Best Investment (by Jennings [IN]) Mar 16, 2019 6:41 AM
Best Investment (by Richard [MI]) Mar 16, 2019 7:30 AM
Best Investment (by WMH [NC]) Mar 16, 2019 8:32 AM
Best Investment (by GKARL [PA]) Mar 16, 2019 8:56 AM
Best Investment (by JB [OR]) Mar 16, 2019 9:01 AM
Best Investment (by PG [SC]) Mar 16, 2019 9:08 AM
Best Investment (by JB [OR]) Mar 16, 2019 9:16 AM
Best Investment (by Wilma [PA]) Mar 16, 2019 12:50 PM
Best Investment (by Robert,OntarioCanada [ON]) Mar 16, 2019 1:52 PM
Best Investment (by Barb [MO]) Mar 16, 2019 3:30 PM
Best Investment (by GKARL [PA]) Mar 16, 2019 5:06 PM
Best Investment (by Robert J [CA]) Mar 16, 2019 6:18 PM
Best Investment (by don [PA]) Mar 16, 2019 7:56 PM
Best Investment (by don [PA]) Mar 16, 2019 7:56 PM
Best Investment (by JB [OR]) Mar 16, 2019 8:13 PM
Best Investment (by MikeA [TX]) Mar 16, 2019 8:24 PM
Best Investment (by Bob Desjean [FL]) Mar 20, 2019 7:36 AM
Best Investment (by Marc [PA]) Mar 20, 2019 9:17 AM
Best Investment (by BRAD 20,000 [IN]) Mar 20, 2019 12:11 PM
Best Investment (by BRAD 20,000 [IN]) Mar 20, 2019 12:13 PM
Best Investment (by Lucy [IN]) Mar 20, 2019 12:42 PM
Best Investment (by 6x6 [TN]) Mar 20, 2019 4:43 PM
Best Investment (by Robin [WI]) Mar 20, 2019 6:51 PM
Best Investment (by JB [OR]) Mar 20, 2019 9:46 PM
Best Investment (by Lisa [FL]) Mar 21, 2019 2:24 AM
Best Investment (by Pmh [TX]) Mar 21, 2019 2:45 PM
Best Investment (by Pmh [TX]) Mar 21, 2019 2:47 PM
Best Investment (by JB [OR]) Posted on: Mar 15, 2019 10:14 PM Message:
I understand a huge bias here regarding RE investing, but how have your other investments measured up to your rental business?
What do you wish you had invested more into and what do you wish you had avoided altogether and why?
Was it stock/mutual funds? A business you started or continue to run? Property flipping? Marrying rich spouses? --24.20.xxx.xxx |
Best Investment (by DJ [VA]) Posted on: Mar 16, 2019 4:58 AM Message:
BEST Investment, hands down:
The time spent investing in my 3 three children - raising them full-time.
I know that's not what you're looking for, but it's the truth.
Marrying a spouse with a good income was helpful, too. It's the survivor benefits I now get that have freed me up to focus on RE, now that the kids are grown. --68.10.xxx.x |
Best Investment (by myob [GA]) Posted on: Mar 16, 2019 5:29 AM Message:
I once spent a week back in early 1980's evaluating where I was going. I was 30 at the time-- had a great mech job at a major airline in ATL. I was seeing what others-- who owned their own business had and how satisfied they all seemed. Read a few books and articles and thought about what my father did buying just one rental in Mastic Beach NY back in 64 or 65. My wife and I had sold our first home in Garner NC after owning it for just 3 years and doubled our money-- we paid 28K for a 3/1.5 with 1 car-- brand new home.
I started looking at RE local seminar and found one by Albert Lowery and my wife and I attended. Was a great experience and even better investment. Al never attended but the weekend was still the best. I purchased Al's disk a 5.25 floppy that we used in an apple 2E 128K. man we were on our way.
We had as many as 80 SFH's but have trimmed that back to 63.
The time I spent trying to decide what to do that week-- was my best investment. It gave myself and family the direction. --99.103.xxx.xxx |
Best Investment (by WMH [NC]) Posted on: Mar 16, 2019 6:19 AM Message:
We had high-paying jobs with everything in the market. But it crashed two or three times over the decades and it took so long to catch back up. And, being a control freak, I hated that I had NO CONTROL over our money...the market does what the market does and you can't do a thing about it.
Back in the (90s?) DH told me we would need 3 million in order to generate the monthly minimum we would need to live on in retirement (and we wildly underestimated that monthly minimum, BTW, especially given health insurance these days.) I about gave up because that wasn't happening fast enough.
Once we started getting into RE, in 2003, it seemed like a natural fit for us. He the handy engineer type who likes tinking with tools and such and me the control freak paperwork person. Who at the time was young enough to help with the rehabs too.
We still have stuff in the market but it just sits. It's not a ton o' money but maybe a lot by some standards. At time we've tapped it to buy another house but mostly it just sits. --50.82.xxx.xx |
Best Investment (by Roy [AL]) Posted on: Mar 16, 2019 6:35 AM Message:
Myob,
I spent the entire decade (1980-1993) trying to figure out where I was going in life. Finally, in 1993, I settled down and bought my first house in Kennesaw, GA. That was the best investment I ever made. The rest is history. --68.63.xxx.xxx |
Best Investment (by Jennings [IN]) Posted on: Mar 16, 2019 6:41 AM Message:
I tell people if I was a young man starting over, I would never own the first share of stock. I would put all my money in real estate.
The biggest mistake I made was not taking my money out of the stock market and buying real estate in 2008 - 2009. --68.38.xx.xx |
Best Investment (by Richard [MI]) Posted on: Mar 16, 2019 7:30 AM Message:
Back in the early 80's (82-84), pre real estate investing, I owned a construction company. This company made good money, so not wanting to detract from construction I put the profits into mutual funds. Wrong move for me because I didn't pay attention.In the crash of 87 I lost half of my life savings in a week. Had I paid more attention to developing trends (computers, internet) I might have bought Microsoft as it came out or intel. Or even Berkshire.
Nope. I was not paying attention.
What saved me was real estate. My construction company was doing 30-40 jobs a month and still generating profits as we were on the coast in California in the boom years of the 80's. I'm 85 the light bulb went on. I looked at the companies we worked for and what they were generating verses what I was making.I'd bust my butt all month for an amount that was pretty good while these other companies made 4-10 times that on one deal. As an example, they would buy a fixer for 2.5 million, put 500K into repairs and flip it for 4-5 million.) The 500k in repairs was divided between all the subcontractors and materials. So maybe I'd make 10-15K on the job after expenses while they made 1 million plus, less their expenses. When the light went on, I said to myself, "I'll be having some of that". Of course I couldn't play in that level of money, so I worked on lower priced deals. My first two deals were 125 miles away in Lancaster, CA. I bought them for 65K each with 10K down each. Fixed and rented them. Made mistakes, lost money on rent. But, prices were going up a lot at the time and I sold them 2 years later for over 30K profit each.
A bit later, in 1989, my daughter was born and I sold out all houses and the construction company and retired. Moved to the Florida Keys and drank rum. In August 1992, hurricane Andrew hit just south of Miami, wrecking 50000 plus houses. That's 50,000 fixer uppers in a 30 mile radius. People freaked and were selling $135,000+ houses for 10-15K that only needed 40-50k in repairs. Fixer upper heaven.
For the next 4 years, it was a feast.
So in conclusion to this part of the tale, real estate was my best option. Still, if I'd bought Microsoft or Berkshire back in 83, I'd be ahead of present (if I never sold them).
Hindsight is so clear.
At least with real estate, I know what to do and how.
--23.121.xx.xxx |
Best Investment (by WMH [NC]) Posted on: Mar 16, 2019 8:32 AM Message:
Found this:
w w w .telegraph.co.uk/finance/personalfinance/investing/shares/11931489/Thirty-years-of-stock-market-crashes-and-the-signs-they-were-coming.html
Imagine if you were retired during the big crashes and had to withdraw money to live on regardless. The 87 crash took over 1000 days to recover from. If you were selling stock to live on during that time, you'd have gone broke.
The stock market is a young person's game. They have time to recover and grow. Once you no longer have steady income to rely on as you wait for recovery, you are toast, it seems to me.
Which is why rental income seems to make so much sense. --50.82.xxx.xx |
Best Investment (by GKARL [PA]) Posted on: Mar 16, 2019 8:56 AM Message:
The only possible downside to rentals is illiquidity and having to actively manage the asset. I prefer real estate because it's something people need. Although it's not recession proof, it can fare better than financial assets in a storm. --64.121.xxx.xxx |
Best Investment (by JB [OR]) Posted on: Mar 16, 2019 9:01 AM Message:
I love your stories.
I must say, when I was a young man I read a lot of financial books and magazines. Through all my research, it seemed that wealthy people became that way through just a few ways. Starting their own successful business was one. RE was another one. But for the average Joe, RE was the easiest way.
Another thing I realized was that very few were actually willing to put in the time and effort to become wealthy. All those years of hard work...I guess that is why we see so many people trying to hock their "Get rich quick" schemes and why people keep falling for it.
I must say that I had plenty invested in the stock market, mostly via mutual funds over the past two or three decades. Since the market lows of 2009 those funds have quadrupled. Of course that is after they were pretty much cut in half first following the Great Recession. But for anyone who happened to have a load of cash when RE and the stock market crashed had they decided to buy either at that time they would be in great shape now. --24.20.xxx.xxx |
Best Investment (by PG [SC]) Posted on: Mar 16, 2019 9:08 AM Message:
You are asking the right questions or at least you are attempting to develop some sort of plan for your life. I see so many young people with no plan wondering from one material thing to the next, some who care about nothing, staying in a dead in job. As a baby boomer our generation was not like that.
RE - Stocks - business - a good job all can be successful but you need to have a good spouse - a partner in life - some one who you can confide in. Church is also very important.
And as DJ/VA said spend time raising your children. That must be part of your plan.
For me I have a great spouse started out in 76 living in a trailer with a Vega-terrible car.
I am retired now with a nice pension from a well paying job that I enjoyed all part of our plan. Also with company kick in and saving 10% of my salary for 32 years I have a nice IRA all part of our plan. RE was part time-kind of fell into it-2 or 3 SFH rentals, but I enjoyed it. I should've done a little more planning with the RE, but you can't win all of them.
Spend time educating yourself to the options. Most poor decisions are made because of NOT studying the issue. For RE this site and the LL who respond are the best. Good luck. --99.197.xxx.xx |
Best Investment (by JB [OR]) Posted on: Mar 16, 2019 9:16 AM Message:
LOL, thanks PG. Oh to be young again. If only it were so. --24.20.xxx.xxx |
Best Investment (by Wilma [PA]) Posted on: Mar 16, 2019 12:50 PM Message:
I'd say that the rental biz has been the most consistently good for us. But our biggest regret is that we ignored Roths for too long. We were so dumb to have missed out on about 15 years of contributions (even if we couldn't have put the full amount in allowed per year). But we got a second chance when my DH retired - the state employee's pension system allowed him the option of taking all of his contributions and interest as a traditional IRA. We are now working on converting some each year to a Roth, as we have "wiggle" room in our tax bracket - better late than never. --71.175.xxx.xx |
Best Investment (by Robert,OntarioCanada [ON]) Posted on: Mar 16, 2019 1:52 PM Message:
One has to consider moving out of province or state where there is a large bias against private sector rental housing. Remember when rent control destroys the rental housing market tenants pay higher rent along with getting rental units that only meet the minimum building and fire codes. Look at a major city in the Us or any province in Canada that has rent control then compare rents. Rents are always higher as there no longer competition for rental units. A hundred people want that rental unit where it is take it or leave it. No vacancy rate or a very low vacancy rate of one per cent. Unlike the Us there is provincial system of rent control in the province of Ontario where a lot of cities in the Us it applies to a specific city where now it is going to be state wide. If one wants to listen to few imbezzile left wing groups who are only critics but when it comes to offering the alternative absolutely nothing. As matter of fact many of the tenancy advocate chair actually own their houses. Come on move out then provide free housing for tenants then move into the housing authority. --147.194.xxx.xx |
Best Investment (by Barb [MO]) Posted on: Mar 16, 2019 3:30 PM Message:
We have a little bit in a 403B earning interest. I pulled out my teachers retirement from the state and invested in it the market and it is doing very well, but I have very conservative investments.
We have some cash at the bank in IRA CDs, but not a lot.
We plan to stay with our W2 jobs for about 11 more years. At that point, we get to keep their insurance. We will have a nice pension each.
Our real living expenses will be based on the rentals. The very first duplexes we ever bought have been some of our best. The duplex we built new in 2011 is awesome, and the 8-plex we built last summer is doing well.
The banker asked me if I was ready to build on either of my vacant lots yet, but I’m waiting until I have a larger reserve built up. I’m guessing we will be ready in another year. We have one R3 and one R2. We will do the R3 first. My plan is to have the rentals all paid for when I leave the W2 job.
My duplexes have been great, and the 8-plex is so far great. --64.251.xxx.xxx |
Best Investment (by GKARL [PA]) Posted on: Mar 16, 2019 5:06 PM Message:
Low income yield is my main problem with financial assets. I understand that most people would prefer monies be reinvested to generate growth in stock value and lower cap gain taxes, but that depends greatly on market psychology. For all the buy and hold mantra that's pushed on people, if everyone bought and held, then we would have no wild price swings would we? The fact of the matter is trading algorithms have taken over the market and are churning daily. They need a base level of sheep buying and holding for their game to work. I have some money conservatively invested but to me RE, specially commercial real estate that's valued on NOI, has distinct advantages. I get current income AND can force value for a capital gains play later down the road. I feel this is the main reason rental properties are so hot now. Everyone knows that interest rates are going up and there's only so much growth that can be expected from the stock market. Next move is likely to the downside.
--209.122.xx.xxx |
Best Investment (by Robert J [CA]) Posted on: Mar 16, 2019 6:18 PM Message:
The best investment is to invest in one self. Education, books, hobbies, on the job training. Mentors and so on. The more rounded someone is the better they can deal with change. If you specialize in only one things, then if something happens to that industry, you are out of luck. --47.156.xx.xx |
Best Investment (by don [PA]) Posted on: Mar 16, 2019 7:56 PM Message:
Best investment was the $16 I spent on an electric hair clipper. Saved me the $24 a month that i spent on haircuts, plus the time saved not going to the barber. Can't beat 150% MONTHLY return AFTER TAXES! Bonus, I use it on my beard and back, too. --73.141.xxx.xx |
Best Investment (by don [PA]) Posted on: Mar 16, 2019 7:56 PM Message:
Best investment was the $16 I spent on an electric hair clipper. Saved me the $24 a month that i spent on haircuts, plus the time saved not going to the barber. Can't beat 150% MONTHLY return AFTER TAXES! Bonus, I use it on my beard and back, too. --73.141.xxx.xx |
Best Investment (by JB [OR]) Posted on: Mar 16, 2019 8:13 PM Message:
don, you're thinking on a small level here. Think a notch or two up.
BTW, electric clippers. Yea, I have one of those. But you may want to invest in an extra one if you're having to use it on your back as well. Sounds like it's doing double time. --24.20.xxx.xxx |
Best Investment (by MikeA [TX]) Posted on: Mar 16, 2019 8:24 PM Message:
Best was RE. Dad helped me buy the first one at 19 which I sold 4 years later when I moved several states away. Got back in about 10 years later. First mistake was not getting back in sooner. Second was not buying Microsoft in 1986 when I almost did as a young IT professional working with those new fangled PC's.
Probably the best financial move was when I got married. We both had good paying jobs, lived off my income, and paid off house and cars before we had kids. Made life much easier not having payments and the reduced spending up front allowed me to generate more money to invest in RE and stocks over the next 35 years. I believe that move was what allowed me to retire at 55 with a very nice standard of living. --50.26.xx.xxx |
Best Investment (by Bob Desjean [FL]) Posted on: Mar 20, 2019 7:36 AM Message:
The writers quote "Otherwise, you'll simply go ahead and foreclose, where one of two things will happen: either you'll be paid off at the foreclosure sale, or you'll wind up owning the property. At that point, you will have to deal with the property, but, you can often sell it for extra profit, keep it for residual rental income, or even move into it if you want. Donna will share several ideas and clear strategies on how you can buy and profit from buying notes with very minimum risk at the upcoming Landlord National Convention." Buying and selling notes and mortgages is not for the faint at heart. The writer clearly does not have a clue as to "what if's" in this profession. Wait until the neophyte has a contested foreclosure on there hands. Or they accept a deed in lieu of a foreclosure and the person whom they accepted the deed from files bankruptcy down the road and the transfer gets negated. They will be looking for a tall bridge to jump of off after the attorney fees cause them to go into bankruptcy. The message is a dangerous one and should be avoided unless to have the knowledge of all of the "what if's" and the financial means to handle them. --65.34.xxx.xxx |
Best Investment (by Marc [PA]) Posted on: Mar 20, 2019 9:17 AM Message:
Bob Desjean--you are absolutely right! A cloud on title, a judgment against the mortgagor attaching to the house, on and on, so many possibilities for financial tragedy.
I would hope the Mr. Landlord moderator would more properly vet the articles put into the email blasts. This message, as you say Bob, is dangerous. --73.64.x.xxx |
Best Investment (by BRAD 20,000 [IN]) Posted on: Mar 20, 2019 12:11 PM Message:
I don’t understand the stock market. Lost $100,000+. As in in GONE, the stock went to zero. Nothing to recover as the market recovered.
I understand real estate. None of my RE has disappeared.
.
RE has been my best investment. Incan buy low and piahbtje equity higher with minor work.
.
I WISH I would have bought a Porsche 356 (bathtub model) back when they were considered old and cheap. Now they pull $100-150,000 restored.
BRAD
--73.102.xxx.xxx |
Best Investment (by BRAD 20,000 [IN]) Posted on: Mar 20, 2019 12:13 PM Message:
I know Donna Bauer. She is the real deal
It was a short artilce to introduce the concept, not her full course.
BRAD --73.102.xxx.xxx |
Best Investment (by Lucy [IN]) Posted on: Mar 20, 2019 12:42 PM Message:
Have done a-ok with the stock market. I was unhappy with returns for years then saw something on the Today show of how a monkey picked stocks as well as professionals. Well, that helped give me some confidence to choose stocks myself. I’ve done ok. I do worry about a crash. And I have experienced some crashes, held on and the money came back (yah).
I’ve recently been studying High Cash Value Life Insurance as a tax-free vehicle. I saw Ed Slott on PBS and realized EVERY cent in traditional IRA is all going to be taxable income at some point. Yes, it’s grown greatly, but that money will be taxed at some point. And when we’re 70, we’ll be forced, yes forced to take it out. That will be income on top of all other income (RE income or SS income). I want to learn how to best get this in the ROTHs or the Permanent Life Insurance accts. Still Learning. Always learning. --69.160.xxx.xxx |
Best Investment (by 6x6 [TN]) Posted on: Mar 20, 2019 4:43 PM Message:
I don't have any experience in financial investing except for my sfh rental.
I have to agree with RobertJ that investing in ones self is probably the best investment, at least it has been for me.
I have no college education and not much life experience.
I decided a few years ago to find a house to flip and decided to rent instead. I have made several mistakes but I am learning in large part now thanks to all of you.
For about three years up to about a year ago I got some free outdated college text books from the book store and read them and still have a lot to read but no time know. Although I have a tough time learning it has also been one of the best things I have invested my time in.
I have learned more in the last 10 years then I have in my whole life.
I have learned more about RE in the last few months then ever. Thank you ALL. --73.120.xx.xxx |
Best Investment (by Robin [WI]) Posted on: Mar 20, 2019 6:51 PM Message:
Worst investments: 1) We got a large insurance settlement. Invested it with a friend who was also a financial advisor. He got sick and stopped answering the phone. Lost most of it.
2) Father-in-law buys and sells stocks as a hobby. Told us we couldn't afford NOT to invest ourselves. Ahh, actually no.
Best investments: 1) The tech company DH worked for offered employee stock purchase plans at a 20% discount. We bought the maximum allowed. The stock has gone up 250% from what we bought it for in the last three years. We keep selling shares so we won't have too much of our assets in one place, and it just keeps climbing.
2) Humble SFH rentals. The rehab increases their value 60% and the rent just keeps rolling in.
3) Private lending. Less hassle, good returns.
--204.210.xxx.xxx |
Best Investment (by JB [OR]) Posted on: Mar 20, 2019 9:46 PM Message:
Robin reminded me of something I almost forgot.
My best investment: In 1997 I had an $2500 and decided I would invest it in a Technology and Communications Fund. That fund went on a tear and was the top (or very nearly the top) performing mutual fund over that three year time frame. Within that three years I watched that investment go up over 1000 percent. It was worth over $25000.
My worst investment: It was that same fund. It went from $25000+ and crashed all the way back down to well under what I paid for it. I think I lost about 93 percent from its peak value. I kept holding, thinking it couldn't go any lower. I was dead wrong. I finally sold in disgust at a loss after a 4 year roller coaster ride.
Funny thing was I almost took the money out of it when it hit $20,000. I was going to buy a Mustang convertible, but I decided to do the prudent thing, so I hung on to it. At least I would have had a car for my troubles if I would have cashed out. Back then $25000 was a pretty good chunk of money.
Still makes a bit sick every time I think about that deal.
--24.20.xxx.xxx |
Best Investment (by Lisa [FL]) Posted on: Mar 21, 2019 2:24 AM Message:
I follow investor Donald trump blindly. If he can make all his money ° in real estate then why not me. I started re investing in 2007 and regret why I did not started 27 yeArs ago since I m following D trump
Rental bussiness is the best strategy to get rich with working fulltime job.
I want people to invest time in reading but books and watch articles on you tube about re Estate investing rather than watching soap opera shows on tv
--174.228.x.xxx |
Best Investment (by Pmh [TX]) Posted on: Mar 21, 2019 2:45 PM Message:
best time to buy Jennings was end of 2018 & March 2019 when I took all my cash & bought across the board. brad: best you understand what you getting into so you don’t lose 100k next time...I use cash spin-off from rentals to buy shares. --104.218.xxx.xx |
Best Investment (by Pmh [TX]) Posted on: Mar 21, 2019 2:47 PM Message:
end of 2008 & March 2009..... --104.218.xxx.xx |
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