Conservative financial instruments that make 6-7% return? In the past few years?
I'd sure like to know more about those.
I'd sure like to know more about those.
For instance, buy an index with a low maintenance fee that tracks the REIT. It's also a lot quicker (and easier) to get out of that index fund than it is to get out of your home. https://personal.vanguard.com/us/FundsSnapshot?FundId=0123&#...
The key is, you can invest in real estate without owning a home and better still: be diversified into multiple kinds of real estate. A home is a very homogeneous investment vehicle. Think of it more like a savings account with a maintenance fee but you can live inside it.
That throws the calculation way off, because you don't get the tax benefits associated with buying and living in a house.
Money flows, tax breaks can decrease the viscosity of that flow.
There's more than one way to play the game. :)
This will obviously not be accessible to you - but just to illustrate that they do exist for special protected classes of individuals.
When I heard this from my co-worker, I was flabbergasted.
Her relatives, senior citizens in India, get +9% interest on their personal savings. Call it subsidized, but there is no risk.
She is really annoyed when they harangue her about her middling 1-2% interest rates.