I have 150K liquid cash in my savings account. I feel it lying there isn’t of much use (until GOD forbid some emergency). But I feel I would have a way out in that situation too🤞🏻 Looking at the current real estate 🏡 market (down by 10-15% in Bay Area) I applied for a loan and got an approval for 950K with 4% interest rate (thanks to credit score). What’s the best option I have! I am not in need to buy a house now, since my son is only 15 months old, but would like to buy only single family if I would . Note: I an having this poll since I got a request to do so!
Dude. Follow the market and buy at bottom of crash. U will thank this app. For those of who have seen 2008 know how bad it will get again. I dont know ur financial situation or if u and ur wife both earn or not. But i have enough stupidity like 2006-07 in past few yrs where people with $120-$140 base were cashing out $950K loans with subprime mortgage. That tells me the financial system is still screwed up and has to fail in next 1-2 yrs.
Lol don't be me. Was mostly in cash at beginning of 2018. What a loss
You are full rtard if you don’t buy in the market right now
What’s your TC split and credit score?
Buy VIT and chill.. real estate would be flat at best in 2019.. Asses situation end of next year
If you plan to keep it for the next 10 years, forget trying to time the market. Just buy now. That said, it sounds like you’re only looking to buy just because of peer pressure. That’s a pretty bad reason to spend $950k. Invest it in Wealthfront or something instead.
How good is Wealthfront? Have you used it!
Yes, I use it. I just listed it as an example of somewhere you can easily invest and diversify funds. You can also just do an index fund with Vanguard, a Discover savings account at 2%, or something like that.
I figured a lot of people bought houses since their friends and family bought houses, and to have better social life, have events, parties, etc, and in general better quality of life. If you care about these buy the house but investmen wise doesn't make sense at least for me to pay that big of a mortgage, specially because of compounding interest on the initial 4% over the years.
Yes I want the quality of life, but am in a good shape currently and no complaints. Definitely don't wanna bring it down and hence would have to buy in a decent neighborhood. I agree it isn't an investment exactly, but more of 'owning a property' feel. The compound interest is not gonna go away anyhow!
I wouldn't exactly call it owning a property, given the huge mortgage (debt), but I get your point. I suggest putting your money in online savings or short term treasuries or CDs, because you want to buy a house in 2-3 years and stocks don't make sense for short term investments.
Worst time to buy real estate in US. It is going to fall down next ..
Where the f do you get a 4% rate is it like 15 year fixed?
Anyhow that’s an investment which I cannot get rid of. It’s kinda social and family pressure though it’s not the best investment! What other options do I have?