Husband+Dad, Financial Literacy, Lifelong Learner, Air Traffic Controller, Amateur Investor, Macro Enthusiast | Risk Mitigation is a Tenet of Aviation!
.@HedgeFundTips I have been listening to the podcast, I love it.
I know that you mentioned the intrinsic value of Alibaba, but have you mentioned the intrinsic value of CooperStandard? Maybe I missed it.
Mastering the Art of Selling Investment Properties for Financial Freedom: An Expert Guide
In this article, we're diving deep into the core of real estate strategy – beyond mere market trends and shortsighted gains. Here, I will reveal the top three reasons that define a savvy sale, pitted against three reckless pitfalls to avoid. So, let's embark on this journey to discover what truly drives a smart sale and what constitutes a hasty exit in the intricate dance of real estate investment.
Section 1: Top 3 Reasons to Sell an Investment Property
Maximized Market Value and Low Return on Equity
When your investment property's market value hits a new peak, it's easy to pat yourself on the back and rest on your laurels. But here's the sneaky truth: a high market value might mean your return on equity (ROE) is dropping quickly. Think of it this way: when you initially purchase an investment property at or near market value, your equity in it is essentially your down payment. So at the point of purchase, your cash on cash return on investment and your return on equity are one and the same. However, when the market value increases substantially so does your equity in the property. If we assume that your cash flows remain the same, your return on your initial investment is the same but your return on your equity is declining as fast as your equity is growing. Finally, you reach a point where the equity has grown so much that your return on it is very poor. This is the point where it might make sense to unlock that “sleeping” equity and put it to work somewhere else where it can produce more for you.
This is about making your money work smarter, not just harder. Recognizing when to shift your resources is crucial, especially when you can invest in opportunities with potentially higher returns. It's not just selling – it's strategic financial maneuvering, aligning each move with your long-term vision of wealth building.
Read the other two good reasons to sell and the rest of the article here:
https://t.co/AFR6Fp9PgH
@WifiMoneyPlant Stephen Covey said “Start With The End In Mind”.
How and with whom do you want to spend your golden years, alone?
Who do you want to be in your deathbed, your balance sheet? I don’t think so. I’m almost positive that in that deathbed you want genuine love and care.
.@MilkshakesPod In the last episode Brent mentioned that the average investor should hold cash and gold as part of their portfolio. Specially, for the coming years. Which is the best way to hold gold as an average investor, physical or ETF’s?
@UncommonYield Easy. A lot of people just live other people’s dream/sales pitch.
Your question is a perfect example of “are you living your life/goals or other people’s life/goals”.
@Money_Matters_1@UncommonYield Have you heard the saying: “Sometimes you have to go slow, to go fast”
Just be careful that the urge doesn’t become detrimental for your future and for your that beautiful compound interest.
@UncommonYield@Money_Matters_1 Having enough liquidity will solve this problem.
Liquidity will cover all your short-term fears, emergencies and/or setbacks; plus it will fund your life now while you save more for the future.
With liquidity you can take advantage of investments opportunities.