Ultimate Cheat Sheet on What to Do with Your Money--Truth Hurts

[Day_Carver]

 

[RepostKing]

The median wealth of white households is 20 times that of black households and 18 times that of Hispanic households, according to a Pew Research Center analysis. Household “net worth” is the sum of the market value of assets owned by every member of the household minus their liabilities (debt). About a quarter of all Hispanic (24%) and black (24%) households in 2009 had no assets other than a vehicle, compared with just 6% of white households.

This was me until I was 30. The fucking light just came on one day after my Pathfinder which I bought brand new was turning 12 years old. I realized other than this hunk of metal I didn't own anything. But every white person I knew had a house coming to them from Mommy and Daddy once they die.
I got my ass in gear, moved out of NY and cop a house a few years later.

 

[Solomon]

Just wanted to bump the thread and add a little something I hope people can appreciate.

 

[Money Machine]

This was me until I was 30. The fucking light just came on one day after my Pathfinder which I bought brand new was turning 12 years old. I realized other than this hunk of metal I didn't own anything. But every white person I knew had a house coming to them from Mommy and Daddy once they die.
I got my ass in gear, moved out of NY and cop a house a few years later.

you just said my life right here bro. but i didnt even own a car. this is one of the best threads in awhile. i didnt agree with everything the article said, but i love the thought provoking comments.

 

[jrscott79]

disagree on the housing- I bought a house in a transitioning area for 180. 2 years later it just got valued at 311k. I just pulled the equity and bought a house several blocks up in the next part of the area transitioning for 57k. I can put a tenant in for 800. My home equity loan is on 400. So I pocket 400 every month


Disagree on mutual funds- Started putting 10% of my check into a 401k at my job with them matching 6%. I just got use to living on the paycheck deduction for years. I have almost 75k saved without doing shit. I can take out a loan against that if I want


Oh and out here if you put a tenant in a rental and can prove they pay the rent, the credit union will approve a second mortgage loan on your rental. Rinse and repeat.

Far as real estate, I have close to 500k on paper. Eventually when all my properties are paid off, I'll have that in liquid funds when I sell. Or I can just keep collecting rent as passive income

Great post OP.

And here's the link to the book this guy wrote on warren buffett -- http://depositfiles.com/files/1wh3lzaef

 

[kenbgco68]

B'marked for later reading.

 

[Jism]

bump

 

[M.H.C.]

Must read and apply.

 

[TIMEISMONEY]

bmarked...

 

[^SpiderMan^]

Thanks alot for sharing. I agree with pretty much everything dude said. Especially the housing. IMO it makes way more sense to "invest" in a rental property that is actually putting money in your pocket monthly than buying a house that is draining your pockets while you hope it ends up worth more later.

 

[Profit]

Thanks and bump

 

[incogneg]

Just wanted to bump the thread and add a little something I hope people can appreciate.

Great vid. You wanna save more money, figure out something you've got to stop paying for--or make more money. Common sense isn't common

 

[M3MD]

 

[Efkie]

High yield Bonds can pay a nice sum of money.

 

[ICEBURG SLIM]

Hot ta Def

 

[BigATLslim]

yep...a renter....no maintenance, no taxes, no HOA fees, no worries....

Dad has been a multiple home owner and he told me when I first moved to the A, if you don't buy a house, you ain't missin' nothin' and I won't be mad.

4 rental properties later, I see what he means...

disagree on the housing- I bought a house in a transitioning area for 180. 2 years later it just got valued at 311k. I just pulled the equity and bought a house several blocks up in the next part of the area transitioning for 57k. I can put a tenant in for 800. My home equity loan is on 400. So I pocket 400 every month


Disagree on mutual funds- Started putting 10% of my check into a 401k at my job with them matching 6%. I just got use to living on the paycheck deduction for years. I have almost 75k saved without doing shit. I can take out a loan against that if I want


Oh and out here if you put a tenant in a rental and can prove they pay the rent, the credit union will approve a second mortgage loan on your rental. Rinse and repeat.

Far as real estate, I have close to 500k on paper. Eventually when all my properties are paid off, I'll have that in liquid funds when I sell. Or I can just keep collecting rent as passive income

Great post OP.

Solid points, noy liquify it. I'm talkin', there's a half a million dollar situation that needs cash down, what you gonna do?

I have been in ALL of it and at the end of the day, cash IS king.

He nailed it on Letters O and P...straight killed it!

I was saying the EXACT same thing in another thread earlier last week...

 

[dakidmdot]

Amazing, Thank you!

 

[playahaitian]

bookmarked

 

[hardcore_legend]

this was a good read, made it easy to understand.

 

[OnSlaught]

This is what I have been looking for. I am going to take these points that dude made and let them digest while I think of a few ideas.

He broke it ALL THE WAY DOWN, which is what I have been asking people in various circles to do for years, but no straight answers were ever given. Tid bits here and there and shit.

Also, I must thank those that have contributed to the discussion with their own experiences and advice, even if I won't act on some of it.

Repost, you said that Kensington and Fishtown are the next transitional spots to take off in Philly?

I'm trying to find a few places that I can purchase for like $15K-$25K that I can do a little bit of work to and quickly get some renters in. If you can point me in the direction of that one thread you were mentioning where you find your properties that would be great since you mentioned it before I believe...

Chitown, good advice. Shit, if buying was the sure way for everyone, rental income wouldn't exist.

Different strokes for different folks...

 

[ShortyCumStain]

Bookmarked.

Sent from my SCH-I545 using Tapatalk

 

[Helico-pterFunk]

makes sense. spread your money around wisely. have multiple income streams.
sit back and enjoy life.

Agreed.


- Property
- RRSP (Registered Retirement Savings Portfolio)
- Mutual funds
- High-interest savings
- TFSA (Tax-free savings account)
- CSBs (Canada Savings Bonds)
- GICs (General Interest Compound)

 

[Naha-Nago]

Just wanted to bump the thread and add a little something I hope people can appreciate.

Pretty much....


* two cents *

 

[Intel Unit]

Thanks for the information. I'm definitely applying most of these tidbits to my life.

 

[OnSlaught]

Bump...

 

[kew]

Nice Post... Good info

 

[lazarus]

Thanks alot for sharing. I agree with pretty much everything dude said. Especially the housing. IMO it makes way more sense to "invest" in a rental property that is actually putting money in your pocket monthly than buying a house that is draining your pockets while you hope it ends up worth more later.

i agree with that. but that's buying as opposed to renting. owning is the name of the game.